In H1-23, 'Dubai Integrated Economic Zones' Reported 5% Growth in Total Revenue Over Last Year
For the first half of 2023, the Dubai Integrated Economic Zones Authority (DIEZ) released its operational and financial performance on August 23, 2023, as seen on WAM. The figures show an impressive 34% increase in overall EBITDA and a 5% increase in total sales year over year.
In addition, the organization saw a 10% increase in lease operations revenue, a 36% increase in government services revenue, and a 39% increase in licensing revenues in the first half of the year compared to the same period the previous year.
DIEZ’s three economic zones, the Dubai Airport Free Zone DAFZ, Dubai Silicon Oasis and Dubai CommerCity, achieved a combined 17% year-on-year growth in revenue and 20% growth in EBITDA in H1 2023.
The Authority's ability to continue sustainable growth and the success of DIEZ's new integrated model, which unifies the goods and services of its three free zones, are both highlighted by the Authority's impressive H1 2023 financial results. The model intends to improve Dubai's corporate value proposition's competitiveness, along with the city's status in the global economy, as well as its entrepreneurial and investment environment.
These outstanding results are the product of continuous operational efficiency enhancements DIEZ has sought since its founding in 2021 through cutting-edge procedures, programs, projects, and solutions. To improve the business potential of companies based in its free zones in a variety of industries, DIEZ has embraced international best practices and established a flexible economic environment.
DIEZ’s efforts are aligned with the objectives of the Dubai Economic Agenda D33, launched by His Highness Sheikh Mohammed bin Rashid Al Maktoum, Vice President and Prime Minister of the UAE and Ruler of Dubai, which aims to double Dubai's economy and make it one of the world’s top three urban economies by 2033.
H.H. Sheikh Ahmed bin Saeed Al Maktoum, Chairman of DIEZ, said, "DIEZ’s strong financial results further contribute to raising Dubai’s status as a city at the forefront of global trade and supply chain recovery and a leading international economic and logistical hub. We continue to steadily forge ahead in our mission to turn Dubai into a model of global excellence in economic zones."
"The seamlessly integrated ecosystem of DIEZ's economic zones delivers extraordinary value to investors and enterprises alike. Our robust momentum of growth encourages us to continue strengthening our strategic plans to enhance the contribution of free zones to Dubai's GDP to AED250 billion by 2030. We are confident that DIEZ and its economic zones will sustain their remarkable growth trajectory in the latter part of this year. We will continue our efforts to provide the best services, benefits, facilitations and support to enhance the chances of the business community’s success and raise the competitiveness of the economic and investment landscape of Dubai, further bolstering its status as a regional and global investment destination," H.H. added.
Dr. Mohammed Al Zarooni, Executive Chairman of DIEZ, stated, "Since its inception, the Dubai Integrated Economic Zones Authority has provided a comprehensive ecosystem based on the optimal integration of three of the most successful economic zones in the UAE and the region. The 34% increase in EBITDA and 5% increase in revenue achieved in the initial half of 2023 highlight the excellent financial and operational indicators of the Authority and its economic zones."
"This growth complements our efforts to strategically and sustainably contribute to Dubai’s non-oil economy and develop a business environment that supports the growth of companies in different sectors. This comes in line with the plans, policies and economic strategies that drive our initiatives and projects, including the Dubai Economic Agenda -D33-, which has enabled us to outline a clear roadmap for the Authority’s progress over the next decade," Al Zarooni further said.
In an unprecedented achievement, the Dubai Integrated Economic Zones Authority was awarded the Integrated Management System -IMS- Certification within the first year of its operations. The certification combines the world’s three most prevalent ISO standards -ISO 9001:2015 – Quality Management System, ISO 14001:2015 – Environmental Management System, and ISO 45001:2018 – Occupational Health and Safety Management System- under a single framework.
The achievement reflects DIEZ’s keenness to improve the speed and efficiency of services for businesses and investors, support their ability to grow, diversify investments and take advantage of business opportunities, and enhance ease of doing business. This aligns with its broader aim to create an attractive business environment and consolidate Dubai’s position as one of the best destinations for global investors and a key global focal point for commerce.
DIEZ achieved exceptional results in advancing sustainability and reducing carbon emissions through responsible practices that meet the ISO 50001 international benchmarks for the optimal and sustainable use of energy and the Leadership in Energy and Environmental Design (LEED) standards. This comes in line with the leadership’s directives to promote sustainable development, invest in renewable energy infrastructure and raise energy efficiency.
DIEZ’s commitment to sustainability resulted in a 24% reduction in carbon emissions and a 46% improvement in the performance of its smart waste management system compared to 2021. These results were driven by the implementation of responsible environmental initiatives and practices, and the adoption of the latest sustainable and smart technologies, which contributed significantly to reducing energy consumption and enhancing the management of cooling, irrigation and waste recycling systems.
DIEZ also adopted an effective demand flow control system for cooling services and utilised the green gas cooling system -407 R/410- to reduce energy consumption and environmental impact.