UAE Cabinet introduces measures to support suppliers to government
The Federal Cabinet approved a slew of measures to support services suppliers to the federal government entities as part of government's efforts to support the national economy and contain economic impact of the coronavirus, COVID-19.
The Cabinet directed federal ministries and bodies to fast track payments owed to suppliers within 15 days from the date of issuance of the resolution.
Another resolution exempted suppliers affected by the COVID-19 crisis from fines for delays in regards to the execution of federal government contracts for a renewable three months.
The Cabinet also directed that small and medium suppliers be awarded 90 percent of federal government purchases. The Cabinet recently approved an AED16 billion economic stimulus package as part of the Federal Government's additional measures to support the national economy.
The latest financial support complements those announced recently by the emirates of Abu Dhabi and Dubai, along with that of the Central Bank of the UAE, taking to AED126.5 billion the total value of stimulus packages introduced since the COVID-19 outbreak to survive the current challenging conditions.