مجلــة أعمــال رأس اخليمــة
PUBLISHED BY RAK DED | ISSUE 1, JANUARY 2018
EASY WAY TO ESTABLISH YOUR OWN COMPANY
REASONS TO 10 INVEST IN RAS ALKHAIMAH
VAT DEFINITION, MECHANISMS AND CONTROLS
KLUDI RAK RANKS THE FIRST IN UAE AND GULF ALHAMMADI RAK ADOPT THE BEST OF SUSTAINABLE DEVELOPMENT
PRIVATE SECURITY PROTECTS YOUR INVESTMENTS
SEHTEQ RAS ALKHAIMAH INSURANCE PACKAGES AT COMPETITIVE DESTINATION BEYOND A JOURNEY PRICES A WORD
UAE Centennial 2071 ... Wills up the clouds
The Government of the UAE has launched the “UAE Centennial 2071”, an ambitious project to build emirates of the future and equip the UAE for future generations. The project is a comprehensive and extensive government program that includes the de- velopment of a national strategy to enhance the country’s reputation and soft power, and ensure that there are diverse sources of government revenue away from oil, in addition to the investment in advanced technology-focused education and build a system of Emirati ethical values for future generations, Raising productivity in the national economy and enhancing the community cohesion. As His Highness Sheikh Mohammed Bin Rashid Al Maktoum said: “We have plans until 2021, and with the centennial of the UAE we will have a five-decade vision for generations forming a clear map of long-term government operation, and the future generations will need potentials we lay down from today, foundations we raise from now, and an environment for growth to be thought of from this moment on. Supervision Sh. Mohamed bin Kayed Al Qasimi T he vision did not leave anything to chance. The eminent nations are not left to chance, but to the diligent and sincere science that is planned with the children’s Chief in Editors Dr. Abdulrahman Alshayeb AlNaqbi arms and with the ability to believe that progress must be preceded by knowledge and knowledge has an axis in this centennial. Skeptics may see it as a surrealistic pro- Managing Editor Aisha Obaid Alayyan ject, but our leadership has always taught us that our dreams are achieved by working with proper planning and mobilizing the resources of the nation to guide them to Editors Dr. Abdel Halim Moheisen the service of human happiness and well-being, So that future generations will live Maryam Haji Mohammed a happier life in a better environment with greater opportunities and stronger and more effective communication with the world, as His Highness Sheikh Mohammed bin Zayed Al Nahyan, Crown Prince of Abu Dhabi and Deputy Supreme Commander of the UAE Armed Forces EDITORIAL AND DESIGN In order to prove that Ambition is not achieved by dreams but by action, the UAE advances every day in the global competitiveness indicators and the business envi- ronment to match business with dreams, With the UAE ranking first in the region and 16th globally, maintaining its top position in the top 20 competitive economies NewGeneratioN worldwide in the latest edition of the 2017 Global Competitiveness Report, And has MEDIA received advanced rankings that have been included in the top ten in the world in Khawla Ibrahim three of the main axes in the report, and one of the top twenty globally in half of these Zainab Shieha axes, it also ranked third in the world in terms of efficiency of the commodity market, Badr Helmy which is a global indication of the success of the policy of economic diversification Ahmed AlAlhassan in the country and the clarity of visions and strategic plans on the performance and Maher SafyeldiN efficiency of the business market, in terms of infrastructure, the UAE ranked first in the road quality index and second in the index of Quality of Airport and Air Transport CONTACTS AND ADVERTISING Infrastructure, it also ranked third in the world in both the Quality of Port Infrastruc- 050 899 5669 ture Quality Index and other indicators. There is much to be told about a story of a nation whose main aim of its leadership
+971 7 222 999 5 is human happiness. [email protected] Dr Abdulrahman Alshayeb Al Naqbi DED Director-general
DEPARTMENT OF ECONOMIC DEVELOPMENT W www.ded.rak.ae E [email protected] RAKDED_AE
Vision: Strategic Goals: Organizational Values: .Pioneer in the performance to build a competitiveness and ֺ Facilitate and improve Licensing and permitting procedures. Excellence: We are keen to providing value-added services to meet the needs of the customers sustainable economy. ֺ .ֺ Contribute to building a balanced and diversified knowl- Responsibility: We commit to perform our responsibilities toward the customers and the community Mission: edge-based economy. Respect: We treat our employees, our customers and our partners with immense care and mutual To regulate, monitor, support and promote the economic respect. .ֺ Enhance business monitoring and consumer protection a ctivity in order to boost competitiveness, creativity and Transparency: We believe in clear and explicit communication with our customers, partners, employees ֺ Build the ties that bind the relationships between DED and the .stimulate comprehensive and sustainable economic devel- ֺ and suppliers opment, embracing transparency and mutual respect in the relevant authorities. Collaboration: We value the partnerships and cooperative relations with our employees and the relevant .way we deal with our partners, and relying on qualified na- ֺ Improve the efficiency of the organizational support services and authorities tional cadres and efficient systems and techniques.economy. consolidate the organizational values. Creativity & Innovation: We provide a creativity & innovation stimulating environment.w 12 AHMED ALHAMADI... RAK ADOPT BEST PRACTICES OF SUSTAINABLE DEVELOPMENT 16 RAKEZ... A PROMISING AND ATTRACTIVE ENVIRONMENT FOR INTERNATIONAL INVESTORS Where else could you enjoy five star dining under a sky full of stars?
CONTENTS ISSUE 1, JAN. 2018
38 WORLD OF ROBOTS... IS INVENTION SUPERIOR TO INVENTOR 42 RAS AL KHAIMAH BEGINS NEW YEAR WITH A WORLD RECORD
07 20 43
MY CITY CENTRE... 10 REASON.. RAK DCA ... Progress is parallel to the 07 Now In RAK 20 Why to Invest in Ras Al Khaimah 28 tourism and economic development in ras al khaimah 08 SEHATEQ... 22 KLUDI RAK 30 VAT ... Definition, and application Insurance packages at competitive prices Ranks first in the UAE market sales mechanisms and controls
RAK SME ... Promotes quality and innovative SAEED AL-SHAMSI RAS AL KHAIMAH www.raktda.com 18 projects for entrepreneurs 24 Private Security Protects You Investment 43 Begins New Year with a world record
Only 45 minutes from Dubai International Airport Ritz Carlton Al Wadi Desert, Ras Al Khaimah NEWS
ECONOMIC MY CITY CENTRE... NOW IN RAK ــــــــــــــــــــــــــــــ PANORAMA Majid Al Futtaim recently opened My NEWS | 06 City Centre Al Dhait to meet the every- RAK DED | 08 day dining, lifestyle and retail needs SPOTLIGHT | 12 of Ras Al Khaimah’s fastest-growing communities. Today’s inauguration marks Majid Al Futtaim’s first investment in a community and convenience focused retail and services destination for this emirate’s residents and tourists. My City Centre Al Dhait is Majid Al Futtaim’s third My City Centre mall in the UAE, a neighbourhood shopping and dining destination created specif- ically for nearby residential and com- mercial communities. Easily accessible due to its proximity to Mohammed Bin Zayed Road, My Khalid Abu Nasrah, Robert Welanetz, Fuad Mansoor Sharaf, Ghaith Shocair, Ali Alabdulla, Khalid al Obaidli, Maryam Ahli and Hamad Al Lawati City Centre Al Dhait offers a vast array of household goods, including fresh produce and bakery items from Carre- four Market. The opening of My City Centre Al Dhait AED 68.5 million mall, reinforces Majid Al Futtaim’s commit- which has a gross leasable ment made in 2016 to increase invest- area of 5,494 square me- ments in the UAE by AED 30 billion by tres, houses more than 30 2026, taking its total investments in regional and international the UAE to AED 48 billion. lifestyle brands
Mr. Adil Al Zaroon and Dr. Raza Siddiqui
RAK WELCOMES ITS FIRST-EVER FERTILITY CLINIC ـــــــــــــــــــــــــــــــــ RAKDED HONORS ITS STRATEGIC PARTNERS Residents of Ras Al Khaimah will now have access to com- ,prehensive fertility services as Bourn Hall Fertility Centre ـــــــــــــــــــــــــــــــــ RAKDED held its annual strategic partners’ confer- man Al-Naqbi, Director General of the Department Mark Chapleski, Troon President and Benoy Kurien, Al Hamra Group General Manager Dubai, a company of Bourn Hall International, and RAK ence for 2017, and all those who contributed of the expressed his appreciation for their sincere efforts STRATEGIC PARTNERSHIP Hospital partner to launch the first fertility clinic in the Emirate. The collaboration ensures top-of-the-line IVF con- ـــــــــــــــــــــــــــــــــ services and initiatives of the Department were hon- and cooperation, which helped drive development ored and enhanced the strategic objectives RAKDED and excellence in the Emirate of Ras Al Khaimah, Ras Al Khaimah’s (RAK) leading real estate company, Al Hamra Group, sultancy and intervention at the doorstep of RAK residents, and the best services provided to the client and the pointing out that honoring the partners by the end has partnered with Troon International, the leader in upscale golf course who were earlier travelling to other emirates for fertility community during the current year. The number of of each year is part of the strategic role of the strate- management, development and marketing, to provide full management treatments. The clinic primarily provides IVF consultation, honored partners was 67 partners in different cat- gic partners and their contribution to achieving the services to Al Hamra Golf Club, strengthening the visibility of the destina- along with the medical management of genetic disorders, egories including local partners, federations, sup- achievements of the department and its objectives tion and providing RAK with an internationally acclaimed golf operator. such as genetic screening to avoid hereditary diseases. pliers, tomorrow’s licenses, committed dealers, the and initiatives. Simple in their rewards and a good The premium golf course, designed by renowned golf course architect, The fertility clinic, due to its strategic placement within the oldest licenses in the emirate and clearing offices. response to all their efforts in the success of the in- Peter Harradine, has risen to prominence since opening its doors a dec- hospital will also serve as a one-stop-solution for couples A private partner, media partner and best training itiatives, activities and activities of the Department ade ago and now welcomes over 20,000 visitors from around the world looking for treatment of chronic ailments to help increase center were also honored. In this context, Abdulrah- throughout the year. every year and has amassed 120 members. the chances of fertility.
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minutes, the customer can buy and activate his or her health insurance coverage on the portal. Additionally, it offers the client the option to use of an Emirates ID card instead of an in- surance card, adding another layer of convenience to the customers.”
First in the northern Emirates Dr Saif Al Jaibeji, Sehteq’s chairman, said they will provide clients with the options to choose the right health in- surance coverage with the use of lat- est technology. “Within minutes, the customer can buy and activate his/her health in- surance coverage on the portal. Addi- tionally, it offers the client the option to use of an Emirates ID instead of an insurance card, adding another layer of convenience to the customers.”
Financial burdens Claude Zoghbi, General Manager of RAK Insurance, said, “It is a remarka- ble step for Ras Al Khaimah to be the first emirate in the Northern Regions and the third after Abu Dhabi and Dubai to introduce a unique health insurance scheme which will provide protection to SMEs and investors from health care related financial burdens. RAK Insurance, being one of the con- ceptualisers, is delighted to be part Dr Al Naqbi added, “SMEs are the of this initiative in partnership with core of our economic growth. Initi- RAK DED and RAK Incubation. The atives like Sehteq will help SMEs to Sehteq technology-driven digital plat- grow and attract the right talent by form will offer economical health care SEHTEQ... encouraging a healthier and more solutions. As a prominent RAK based productive workforce. Moreover, this insurance provider this is an attractive Insurance packages at initiative will nourish the private opportunity for us to serve RAK SMEs health care sector in the emirate and and investors. This initiative will trig- attract local and international in- ger more ideas in developing other in- competitive prices vestments to meet the additional de- surance products for asset protection RAK DED LAUNCHES ZAYED KNOWLEDGE CORNER mand on health services. Sehteq is a ـــــــــــــــــــــــــــــــــ ”.Sehteq” or “you health” offers optional and affordable health insur- and business contingencies“ proactive step in exceeding minimum Based on the vision of the UAE Government great example of the happiness of citizens ance coverage for companies licensed by DED. It is a state-of-the-art standards and achieving our custom- to make the year 2018 the year of Zayed, the and residents worldwide. He pointed out health care platform that combines “Insurtech” and “Healthtech”, the 5 Differnt Packages er happiness goals, well before it be- economy of Ras Al Khaimah formed a team that the establishment of Zayed Knowledge latest technologies in the insurance and health industries. The portal will provide five different comes compulsory by federal laws. plan options, which are built to suit named “Eyal Zayed,” and launched the first Corner comes to exploit the waiting time The department will also be launch- all categories of consumers and needs of its work this year by announcing the first in the center of reading And to gain knowl- ing ‘Innovation Month’, with a num- in Ras Al Khaimah. The options start initiative was the launch of Zayed Knowledge edge through reading books related to the ber of innovative business ideas and with the ‘Sehteq Basic Plan’, which Corner at its headquarters, Al-Naqbi, Direc- late Sheikh Zayed bin Sultan Al Nahyan and 550 initiatives.” provides coverage in Ras Al Khaimah. tor General of the Department, and Sami his achievements and his journey locally, re- Affordable ‘Sehteq Plus’ covers the Northern Al-Rabah, the team leader, in addition to the gionally and internationally. Sami Al-Rabah, health insurance “The Sehteq commitment demonstrates how the DED continues to Dr Saif Al Jaibeji, Chairman of Se- Regions, and ‘Sehteq Elite’ operates presence of the team members and employ- the team leader, said it was a good feeling to coverage starts work towards the vision of His Highness Shaikh Saud Bin Saqr Al Qa- hteq, commented, “Sehteq provides throughout the UAE. Two additional ees of the department. Al-Naqbi stressed that welcome the new year with positive words and as low as Dh550 simi, Supreme Council Member and Ruler of Ras Al Khaimah, to grow clients with the options to choose the to companies plans for regional and global coverag- the founder of this country deserves our sin- positive behaviors to raise the morale of every- and individuals and support SMEs,” said Dr Abdul Rahman Al Naqbi, Director-General right health insurance coverage with es are suitable for multinational com- cere efforts and devotion to comply with his one towards the work environment and give of the Department of Economic Development in Ras Al Khaimah. the use of latest technology. Within panies and investors. approach and vision, which made the UAE a employees positive energy to continue giving.
8 | RAKBUSINESS RAKBUSINESS | 9 2018 NUMBERS & STATISTICS
OVER THE PREVIOUS YEAR 1200 fixed prices at outlets in Ras Al Khaimah in 2018 The Department of Consumer Protection at the Min- istry of Economy is aiming to stabilize the prices of more than 1,200 different brands in the retail outlets in Ras Al Khaimah during the year 2018. Dr. Hashim Al Nuaimi, Director of Consumer Protection Department at the Ministry of Economy, said: Prices for more than 1,200 different commodities have been called for stabilization at commercial outlets located in the emirate in 2018, with an increase of about 20%, compared to the number of items fixed in 2017, point- ing out that the fixed prices of goods in all major outlets of the state will be up to 5000 categories in 2018. TOURISTS, RAS AL KHAIMAH TOURISM TARGETS IN 2018 The Ras Al Khaimah Tourism Development Authority (RAKTDA) is looking at “Vision 2018” to attract a mil- UAE BANK CREDIT TOWARDS 5% GROWTH Moody’s Investors Services confirmed in a recent lion tourists to Ras Al Khaimah. “ The Emirate is rec- report under the title “The Prospects of the UAE MILLION ognized as one of the fastest growing Emirates in the Banking System”, that the outlook for the UAE tourism sector thanks to the directives of His Highness banking sector has stabilized. The growth rate of Sheikh Saud Bin Saqr Al Qassimi, Member of the Supreme Council bank credit has been expected to grow to about 5% compared to a de- and Ruler of Ras Al Khaimah and we are optimistic that our goal of cline of about 2% in 2017. And compared to growth of 5.8% in 2016 attracting one million visitors by the end of 2018 will be achieved,” and 8% in 2015. This is due to the continued strength of the UAE econ- said Haitham Mattar, CEO of Ras Al Khaimah Tourism Development omy, its expected positive performance in 2018, the strong capitaliza- Authority. And 2.9 million visitors by the end of the year 2025. In the tion of banks and the stability of financing and liquidity conditions next phase, we will focus on three major tourism sectors - beyond the in the sector. traditional sun and sand tourism market - adventure and thrill mar- kets, cultural pioneers, health facilities and luxury resorts.
UAE ECONOMY IS GROWTH The International Monetary Fund (IMF) pre- dicted that oil price increases would contrib- ute to the growth of the UAE economy to 3.4% in 2018, compared with 1.3% growth for 2017 and 3% in 2016. Ji- had Azour, (IMF) Director of Middle East and Central Asia, Said during the conference announcing the regional economic out- look report for the Middle East and North Africa report that the UAE economy has succeeded in overcoming the consequences of the sharp decline in world oil prices, noting the reform initiatives adopted by the State during the past years to reduce dependence on oil revenues.
AIRLINE PROFITS RAK PROPERTIES INVESTMENTS” IN 2018 Airlines are poised for record annual prof- RAK Properties plans to invest AED 1.5 billion in 2018, its in 2018, according to the International with a large part of this investment being directed to Air Transport Association (IATA), thanks BILLIONS Hayat Island Project, which the company recently to improved economies around the world DERHAMS launched along with other projects. BILLIONS and strong demand for travel, with ticket “The Al Hayat Island project, an investment of AED prices also expected to rise. The association 3 billion, is scheduled to start in the first quarter of 2018 and to be expects total profits to rise 11% to $ 38.4 billion in 2018, adding completed by the beginning of 2020,” said Mohammed Sultan Al Qadi, that the prospects are encouraging. North American and Euro- Chief Executive Officer of Ras Al Khaimah Real Estate, listed on the pean airlines are expected to generate $ 27.9 billion in total prof- Abu Dhabi Securities Market, and mentioned that the company will its of $ 38.4 billion. After a six-year slump, passenger earnings, a measure of ticket prices, are expected to rise by 3% next year after head to banks to obtain financing for the new projects by 70%, and that falling 1.5% last year. the remaining amount of self-liquidity.
10 | RAKBUSINESS UNDER THE SPOTLIGHT
By Khawla Iberahim The public Services Department at Ras Al Khaimah is well lated based on several axes: positioned to upgrade infrastructure services, civil projects 1. Preparing and building future models and adapting and public services for citizens, which is highlighted by the them to the vision of His Highness Sheikh Saud bin Saqr cultural and architectural renaissance witnessed by the - Ruler of the Emirate. emirate today. 2. Develop specialized human resources to draw strategic and operational plans. The public services department is establishing a prom- 3. Launch studies and scenarios on the outlook for the fu- ising future for Ras Al Khaimah in cooperation with local ture in all vital sectors. government and federal departments. “I always look for- 4. Enhance innovation and creativity platforms, and smart ward to the future with optimism and hope, Where I take applications. my view of the vision of His Highness Sheikh Saud bin Saqr 5. Designing solutions for future challenges in partnership Al Qasimi, member of the Supreme Council of the Union with specialized scientific institutions. and Ruler of Ras Al Khaimah, may God protect him, and His Highness the Crown Prince and Chairman of the Exec- Infrastructure and advanced public service projects are a utive Council His Highness Sheikh Mohammed bin Saud fundamental key for the evolution of society and the de- Al Qasimi, may God protect him, which is characterized by velopment of the state. How do you plan your projects and unlimited ambition towards achieving a future develop- what are your priorities? mental renaissance in various economic, health, service Infrastructure is our successful equation to achieve the and social fields, making the Emirate of Ras Al Khaimah a objectives of economic and social development. Research prominent city in the prosperity and cultural advancement studies on urban and cultural development, the nation- and deservedly occupies a privileged place at the local, re- al agenda, the UAE’s orientations and the strategy of the gional and global levels”. - Engineer Ahmed Mohammed Government of Ras Al Khaimah are considered the main Al Hammadi, General Manager of Ras Al Khaimah public source of plans for infrastructure development projects Services said in an interview with Rak Business magazine and service areas in order to accelerate the economic and social progress as well as to strive to keep up with the civ- RAS AlKhaimah has achieved out- On future plans and strategy for future work, Al-Hammadi ilized and urban developments witnessed by the other standing cultural says: emirates, and we seek through our projects to achieve the achievements and The future is always linked to ambitions and achievements quality of infrastructure to rise to the level of global com- AHMED AL HAMMADI RAK adopt best practices of has become one in order to ensure continuity. In the midst of rapid and petition, The development and modernization of the roads of the important Director of public Services Department sustainable development executive depart- volatile changes and developments, it is necessary to lay and bridges network, the establishment, development and ments referred to the sound foundations for building and shaping a bright maintenance of dams, as well as the settlement of residen- in all fields future. In light of this, our future strategy has been formu- tial plots, are our top priorities.
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communications Corporation) are the most of sustainability plans and strategies is not important partnerships that strengthen our limited to institutions but is also a societal EVENTUALLY, infrastructure development projects responsibility of individuals. The achievements we are living today I take my view of the future from the vision of His In addition, the appreciation of the partners’ are thanks to the Union which built its Highness Sheikh Saud bin Saqr Al Qasimi and His Crown efforts is important to ensure the continuity Finally, how do you highlight the beauty of basis and laid its foundations of our of their effective and distinguished relation- Ras Al Khaimah without compromising its state, HH the late Sheikh Zayed bin Prince, which is characterized by unlimited ambition Sultan - may God bless his soul and his ship with the Department, where they are essence and traditional identity and heritage? towards achieving a future developmental renaissance brothers the members of the Supreme honored annually through the annual cere- Heritage is considered an important part Council of the Union mony to honor the partners and the distin- of our lives, from which we derive our tradi- And continued after him and walked guished. tions, our original values and our way of life, on his path our leaders and dignified which reflects our culture and national iden- elders the march of achieving honora- How do you promote sustainability concept tity. Our projects always present a picture of ble achievements, which have caused transformations that changed the in your projects? heritage in bright new forms. Where we find course of history, the goal of our good Quality is a key factor in our projects in order many of the streets and squares are full of ar- government is to delight people, and to ensure that high quality infrastructure is chitectural designs that depend on heritage achieve a nation that rises up with the in line with the highest international stand- as a style, as well as our projects in the main- efforts of its rulers and wise policies ards to meet future expectations by setting tenance and renovation of archaeological above all. specific performance indicators to ensure sites and heritage. Thanks to the directives of His High- sustainable development, supporting green Through our community role, we always seek ness Sheikh Saud Bin Saqr Al Qasimi and the Crown Prince, His Highness economy policies and conserving natural to launch all community initiatives and ac- Sheikh Mohammed Bin Saud, may God resources. To complement the UAE’s move tivities that promote national identity and preserve them and their vision of the towards a sustainable green economy heritage, perhaps the best evidence for us in future with a developmental perspec- Were sustainability standards are applied to this field is the vision of our leaders and their tive that only knows the concepts of all our projects from the planning and design great efforts to achieve a balance between innovation, well-being and luxury. The stage until the completion of implementa- the urban renaissance and preservation of Department of Public Services has been able to excel in its work, achieve its goal tion, and in this regard, we note our ongoing traditional heritage to ensure a modern life of sustaining the quality of its projects, efforts to raise awareness of the importance upscale heritage of originality and exclusive and still has a lot to look forward to the of recognizing that the responsibility to com- identity. future of life that boasts superior servic- mit to the implementation and execution es in prosperity and progress.
tional excellence. How do your projects contribute to enhancing the business Starting from where others have ended, it is the starting climate and attracting investments to Ras Al Khaimah, and point for competitive services based on experience and ex- how do you contribute to localization of investments? periment, with a distinctive edge in innovation and crea- The infrastructure projects and the service activities car- tive leadership. ried out by the Department are an effective factor in attract- ing direct investments to the Emirate of Ras Al Khaimah, What is the importance of work and coordination with which requires us to constantly upgrade the nature of work partners to enhance the developmental role of infrastruc- and rely on various modern and advanced technologies ture projects in the Emirate? and achieve high quality. The development of roads and The department works to enhance cooperation with the bridges network, the upgrading of sewage services, the pro- We support green government and private sectors through partnerships that jects of cosmetic agriculture and waste management is an economy policies contribute to achieving the department’s strategic objec- and conserva- integrative services group that plays a key role in establish- tion of natural tives, ensure the investment of resources and the distribu- ing the emirate of Ras Al Khaimah as an attractive destina- resources tion of roles and responsibilities in the joint ventures with tion for investments. high efficiency, in addition to working to provide added value to customers and achieve a common government Are you open to the experiences and thoughts of others or Infrastructure is goal through leveraging the diverse capabilities and skills are you coming from your own visions? our successful of partners, and we have a methodology for managing the equation to achieve The exchange of experiences and experiments, especially the objectives of work with partners through which we ensure the effective- among the federal, local and private government entities economic and social ness of the strategic partner in achieving the strategic ob- and departments, is a necessity to promote the concepts development jective of the department through periodic performance of excellence in the government sector. The knowledge of indicators outstanding practices, creative ideas and superior models Our partnership goes through several stages, starting with is one of our means to achieve policies and improvement Long-term strategic the planning and classification of partners and ending systems compatible with our vision and strategy. Contin- investments in with the signing of the partnership contract and the imple- infrastructure uous development, standardized comparisons and ex- services planning mentation of the terms of the agreement. For example, our change of field visits help us to benefit from our previous are a key demand partnership with the (Municipality Department - Federal professional experience and experiments, making us able for economic Authority for Electricity and Water - Ministry of Infrastruc- to continuously develop and improve, as they are funda- development ture Development - Department of Economic Develop- mental concepts of total quality management and institu- ment - Environment Protection Authority - Emirates Tele-
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INVEST INVEST IN RAK | 16 ENTREPRENEURS | 18 MADE IN RAK | 22
RAKEZ BUSINESS EXCELLENCE AWARDS FOR 2017
RAKEZ 2017 Awards program for Busi- ness Excellence aims at honouring companies with outstanding perfor- mance that contribute to the econom- ic development of the Emirate of Ras Al Khaimah. This year’s awards pro- gram will be full of excitement and re- wards. RAKEZ will award the winners cash prizes totalling AED 200,000.
RECYCLING CENTER As part of its efforts to preserve the en- vironment, RAKEZ has launched a re- cycling centre to ensure waste collec- tion in business areas, separated and disposed of in an efficient and safe manner without leaving any negative impacts on the environment. RAKEZ cooperates with Ras Al Khaimah Waste Management Author- ity, which recycles and exploits waste in the production of electric power and various raw materials and also sends them to recycling plants in Eu- rope, China and Vietnam. The emirate’s political security and for all types of business sectors, in- On the other hand, RAKEZ is devel- stability are backed by renowned cred- cluding industry, trade, consulting, oping the internal road network in it rating agencies such as Fitch Rat- logistics, academic, media and many Al-Hamra industrial area to facilitate ings and S&P, while its connectivity to others. 1,2,3 and support the logistics movement fast-growing markets is well from and to the region. In addition supported by major logistical hubs Various facilities: provided by (RAKEZ) to the establishment of new housing including: RAK International Airport; to investors including: 1 for workers in the industrial area of multilane superhighways that link to ֺ Shared office units and Offices. With the help of ֺ our business set-up Al-Hamra to serve all the industrial neighbour emirates; and five seaports ֺ Warehouses for manufacturing, consultants, you will .ֺ select your suitable sectors led by Saqr Port, the largest bulk port storage and assembly purposes. legal entity, licence type and facility. in the Middle East. ֺ Plots dedicated to industrial devel- UNIFIED SERVICES WINDOW opment. 2 RAKEZ offers its services under the RAKEZ Ras Al Khaimah Economic Zone Au- ֺ Housing for employees and workers -ֺ Our business set-up unified window system, which fa thority (RAKEZ) is focusing its strategy Cost effective business packages and consultants will guide A promising and attractive environment for international investors you from filling out cilitates for the investor to obtain a on diversifying the range of features special offers for business establish- your application all license, establish a legal entity, and and special services that enable in- ment, which are launched by (RAKEZ) throughout submission, Ras Al Khaimah Economic Zone Authority (RAKEZ) come the leading investment destination for glob- ensuring that all commence his business properly for 13000 vestors from all over the world to es- from time to time to benefit business requirements are met. companies is considered an ideal destination for more than al investors. profitable results. One of the most im- tablish their companies, operate their owners. 13,000 companies including all types of investors At the northernmost part of the United Arab Emir- portant services provided by (RAKEZ) businesses and expand its range with RAKEZ) provides continuous business 3 ranging from entrepreneurs and start-ups to small ates (UAE) lies Ras Al Khaimah (RAK), one of the under one roof: 100 ease in the country and the Middle support services and meets customer Your licence along with and medium-sized companies and industrial com- leading business destinations in the country. The your registration set ֺ Business support services Countries East. From which the most important needs and requirements from docu- and bank letter will panies representing more than 50 sectors from combination of RAK’s business-friendly environ- be issued upon com- ֺ Government services of these services are: ments, communications and coordi- pletion of the licensing more than 100 countries worldwide, Thus forming ment and cost competitiveness has helped thou- ֺ Administrative services Various business licenses: for local nation with other government depart- formality, then the .a major drive for the growth and prosperity of Ras sands of investors gain a higher return on invest- visa application ֺ Procurement services 50 sectors companies and free zone companies ments. process will start. .Al-Khaimah’s economy, and for the emirate to be- ment. ֺ And many more
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The Foundation works to provide a lot of fa- cilities and services to start and upgrade the youth projects, including:
BUSINESS CENTERS: The Business Center is one of the main initia- tives of the Foundation. It provides a business environment that is equipped with projects and is supported with basic services such as communications, Internet, meeting rooms, training programs, etc. The business centers offer various options from business incu- bators, including closed and shared offices, which help entrepreneurs to launch their projects.
GOVERNMENT PROCUREMENT: The Government Procurement Program pro- vides Small and Medium Enterprises (SME) with the opportunity to develop and evolve their business by supplying the needs of the Foundation’s bodies also conduct periodic Government of Ras Al Khaimah and its affil- visits and periodic follow-up to the projects iates as well as the supporting entities of the of the members of the institution in order Corporation with goods and services in both to provide advice and identify the challenges contracts and procurement. facing them and find solutions to them and develop the services and products provided BANK GUARANTEES EXEMPTIONS: by the projects. The Ministerial Resolution on the exemption of bank guarantees issued by the Ministry of INDUSTRIAL AND COMMERCIAL LANDS: Emiratization and Human Resources was ac- Upon instructions from His Highness Sheikh tivated as it comes in implementation of the Saud Bin Saqr, Member of the Supreme Coun- incentives and privileges granted to small cil and Ruler of Ras Al Khaimah, to grant and medium enterprises as stipulated by the industrial and commercial lands to young Federal Law for Small and Medium Enterpris- citizens wishing to establish their industri- es. The number of applications submitted by al and commercial projects, the Foundation the entrepreneur members of the Foundation has received and reviewed the applications to benefit from the bank guarantee exemp- submitted to provide an opinion and recom- tions reached 80 applications. mendation in accordance with the nature of the submitted projects. TRAINING AND DEVELOPMENT Believing in the importance of training and AGREEMENTS AND PARTNERSHIPS: qualification to improve the skills of the en- The organization is constantly signing agree- trepreneurs and develop their experience in ments of support and cooperation with a managing their business and overcoming number of entities to provide the necessary the obstacles in an open competitive market, support to its members to start their work the Foundation organizes several training and projects. programs and forums throughout the year in cooperation with a network of training ser- INTEGRATED SERVICES: vice providers, In addition to the awareness Saud Bin Saqr Foundation provides a com- programs that are implemented in order to plete package of services that provide small develop the knowledge and skills of entre- and medium-sized citizen entrepreneurs preneurs and to inform them of all the new with all they need to enter the business world, research, studies, regulations and laws and including: Saud Bin Saqr Foundation for Youth Projects Development plays all that would help in the development and • Exemption from commercial license fees. a leading role in supporting and developing the Small and Medi- Saud Bin Saqr Foundation promotion of their projects. • Letters of recommendation. um Enterprises (SME) sector in Ras Al Khaimah, by encouraging for the Development of Youth • Free economic and legal consultations. RAK SME young people to entrepreneurship, diversifying the economy Projects thriving history in VARIOUS CONSULTING: • Priority in nomination for international and Promotes quality and innovative and achieving sustainable development. Through an integrated support of small and medium The Foundation provides administrative, local exhibitions. package of services and facilities. In the past, the Corporation technical and financial consultancy and • Using the organization logo. enterprises projects for entrepreneurs has achieved qualitative leapfrogging in addition to its promo- assistance in the preparation of economic • Discounts on many services. tion of small and medium enterprises for entrepreneurs feasibility studies for emerging projects and • Open and closed offices for rent inclusive of reviews the studies submitted to them to ex- all services. press opinions and provide consultancy. The • Meeting room and training.
18 | RAKBUSINESS RAKBUSINESS | 19 INVESTMENTS
The RAK Chamber of Commerce and Industry, the Economic De- INSPIRATION partment, the Investment Au- thority, the Free Zones Authority Yousef Al Nuaimi and other government agencies ------play a pivotal role in facilitating Bolt has one of the most apt names in ath- the procedures, providing incen- letic running. He is a Jamaican born ath- tives and necessary support to the letic sprinter, and was born on 21st August success of the investment mis- 1986 in Trelawny, Jamaica. sion in the emirate and empha- He has won three gold medals in his time sizing the principle of partner- for his performances in the World Games ship with investors in all stages and Olympic Games. Currently the age of their business, as this comes as of 24, Bolt is the youngest runner so far a reflection of the leadership's vi- sion of attracting and supporting to have won Olympic gold medals. Bolt direct investment to the Emirate. is known for his practical jokes, and has been in trouble for taking things a little too far at times. 8 He grew up with his parents in his home The availability of land and warehous- town and his two siblings, a brother and es for rental and ownership purposes sister. As a child he played football and at competitive prices makes the deci- cricket with his brother, and his parents sion to invest in the emirate a rational ran a greengrocers. After realising how decision, in addition to lower operat- quick he was when running, Bolt turned ing costs. Business can be established his attention to running. He started his with a 20% reduction in capital expend- career at the William Knibb High School iture of companies and a net increase where he was coached by Pablo McNeil of 30% to 35% Compared to other emir- and Dwayne Barrett. In 2001, he won his ates and other countries in the region. first school championships where he re- 9 ceived a medal for coming 2nd place in Enhancing the financial sector, the 200 metre race, finishing in 22.04 sec- as parallel marketing which places the 1 launching many large urban and tour- onds. emirate on the domestic, regional and Unlimited support from the political includes eight deep berths and it pro- ism projects, and increasing growth Later in 2001 Bolt participated in the CAR- international tourism map. leadership to the real investment initi- vides a wide range of services including rates in the framework of sustainable IFTA Games and represented Jamaica atives where local and federal govern- ship supply, warehousing, loading and 6 and balanced development based on and won a silver medal for his country in Encouragement of industrial invest- ment agencies have been authorized unloading, as well as a number of other diversifying the economic base in or- both the 200 metre and 400 metre events. ment, especially in the manufacturing, Here he set his personal best time for the to overcome all difficulties that may important marine ports equipped with der to create more job opportunities, building and construction industries. 400 metre race distance of 48.28. As men- face investors in all stages of their busi- the latest equipment, in addition to In- maximize investment opportunities, Some industries in the Emirate have tioned earlier, Bolt was a bit of a joker, nesses, in addition to security stabili- ternational airport of Ras Al-Khaimah diversify sources of income, enhance succeeded in gaining international and he ended up being arrested before ty, which enhances their presence as which is located in the center of the private sector participation in the reputation and access to world-class the CARIFTA even when he hid in a van in- a mature and developed market with city, only 10 minutes away from the in- development process, High levels of centers such as pharmaceutical, ce- stead of training. investment incentives and full tax ex- dustrial areas that allow the investor to productivity and performance and the REASONS ramics and cement industries, and Later he set more records in the Central emptions. benefit from incentives and benefits. provision of skilled and scientifically other industries such as bricks, tiles, American Championships with a time 2 4 qualified manpower. TO INVEST stones, marble, asphalt, plastics, of 21.12 for the 200 metre distance, and Ras Al Khaimah has a vital strategic ge- The Emirate adopts economic diver- 10 boats, dyes, aluminum, milk, poultry again in the Caribbean Junior Champion- ographical location and connects the sification as a strategic option for The emirate is a modern, safe and IN RAS AL and dates, The sector is still able to ships with a time of 47.12 seconds. Bolt rest of the UAE with a network of mod- achieving sustainable economic devel- multicultural place where all modern offer more meaningful investment op- was then awarded a place at Kingston after ern roads that facilitate the transition opment. Which is concerned with the medical and educational facilities are KHAIMAH portunities. It is also concentrated in the Prime Minister noticed his abilities, from and to it. It has long borders with development of sectors and economic available, as well as entertainment, 10 the extractive, construction and build- and he was able to train with the Jamaica the Sultanate of Oman and connects activities of all kinds, away from the shopping and exercise. And we don’t ing materials industry mainly because Amateur Athletic Association. Ras Al Khaimah between the Far East sharp fluctuations that result from the overlook the continuous development it is distinguished by the availability of Bolt entered into the 2002 World Junior markets and European and American concentration of growth in a particular of databases that provide investors in Championships where he won the 200 raw materials and its proximity to land markets. And in order to make the sector as is the case for the oil sector in cooperation with national statistical metre distance race. He then became the and sea export outlets. most of this advantage, it continuously the countries of the region. centers and other federal and local au- youngest gold medal winner. In the same Studies and statistics confirm that RAK economy is one of upgrades its infrastructure, air facili- 5 7 thorities. The availability of transpar- year he ran the relay as part of the Jamai- Other sectors such as real estate, agri- the fastest growing economies in the region and the most ties and ports to be the central hub of The tourism sector is currently at the ency in laws and regulations, the ease can team twice, and both times his team culture, foodstuffs and services of var- stable, that has been able to overcome the successive im- the region. forefront of the economic sectors that and speed of procedures, in addition won silver medals. He was then awarded ious types offer high return rates and a pacts of developments and events to achieve positive and 3 provide the best investment oppor- to the availability of advanced means the IAAF Rising Star Award. The following healthy low-risk business environment stable growth rates higher than most countries in the region An advanced logistic network espe- tunities in the Emirate. It integrates of communication and marketing ser- year he won a gold medal for his efforts in that meets the needs of the emirate’s and is expected to maintain the momentum of this growth cially in the field of shipping in all its services in terms of transportation, vices. the World Youth Championships at the in the coming period. Hereunder we give you 10 reasons for three types of air, land and sea. The hotels, tourism information and gov- growing market as well as national, re- age of just 17.
investing in Ras Al Khaimah: main port of the emirate (Sakr port) ernment support to the sector, as well gional and international prospects. Investment Directory - RAK Chamber of Commerce and Industry
20 | RAKBUSINESS RAKBUSINESS | 21 MADE IN RAK
ning, the KLUDI RAK plant has been sales services, beside assigning a toll-free num- inent projects in the state of large hotels and equipped with the latest technology” ber to connect directly with the team 800KLUDI hospitals, and cooperated with several govern- – said Kokash in addition to direct chat service on the site of mental and private bodies in addition to several the company (Live chat), to delight the largest large projects in Kingdom of Saudi Arabia, Bah- Most of the machines are imported number of customers with distinction, where we rain, Egypt, Jordan, Lebanon and many other from Germany, and we offer unique noted the amount of happiness already available countries” water-conserving products that are in the working environment among employees, environmentally friendly and adhere which is the most important motive for the de- “After this decade-long regional experience, I to sustainability standards, from raw sire to provide such services. can confidently announce that we are in the top materials used in manufacturing and position in the UAE market and seek to reach conforming to European specifica- And the about the position of the “KLUDI RAK” this in the neighboring markets” - Kokash add- tions, through manufacturing and in the kitchen and bathroom mixer market, Ko- ed. production stages until the product kash confirmed: “Because our interest in quality reaches the customer in its final form. and innovation lies in all the details of the prod- “We aspire to the future and enhance our am- uct, KLUDI RAK has been able to take a promi- bition to work hard to increase production, Kokash continued, “We at “KLUDI nent position in the local and regional market, keep pace with sustainability standards, tech- RAK” are professionally and morally thus gaining the confidence of customers to be- nological developments and the general taste committed towards our environment come their best choice thanks to its high quality of customers, we will also increase environment and to future generations, we export products friendly products, as well as focus on diversity ourselves as custodians of water con- and integration, in the year 2020, we are look- servation, and as the global water flow It also earned the confidence of architects, in- ing forward to conveying our success story in rate of the mixers is focused on 9 liters terior decoration experts and project planners. the UAE to the outside world, and we emphasize per minute, we have committed our- It has become the most preferred choice of all the “Made in Ras Al Khaimah” brand as a luxury selves in all of our products in the UAE commercial, industrial and residential sectors, brand across the world.” – Kokash addressing In line with Emirates Standardiza- and confirmed its presence with the most prom- their future plans. tion and Metrology Authority (ESMA) guidelines at a water flow rate of 6 lit- ers per minute,
“We have also committed ourselves to the specific scale of public utility prod- ucts that have pressure on consump- tion such as commercial centers, pub- that RAK Ceramics works on. Hence, lic parks and others with a flow rate of its strategic partnership with the Ger- 2 liters per minute. Today we have the man company KLUDI pioneer of bath- highest conservation and rationaliza- room and kitchen equipment since KLUDI RAK tion rate of water consumption in the 1926” world up to 0.6 liters per minute. Since its opening, KLUDI RAK has Ranks first in the UAE And about the advantages of the prod- been covering all the needs of RAK ucts of “KLUDI RAK” said Kokash: Ceramics projects and has begun to market sales “KLUDI RAK” combines technical Imad Kokash - General Manager expand to cover the needs of the lo- “KLUDI RAK” combines two ancient philosophies; a philosophy based versatility and high operational capa- cal market in general and to export on quality and efficiency; and a philosophy based on elegance and luxury. bility, and all its products are careful- and expand in the Arab world, North This charming combination comes from Kludi as a high-quality German ly and meticulously tailored to local Africa and the Indian Subcontinent. product on the one hand and Ras Al Khaimah Ceramics, the world’s larg- high-end taste and follow the latest German quality combined with UAE’s est ceramics manufacturer. technology developments and sus- creative vision to provide the local and tainability standards. And compared regional market the best bathrooms to traditional water saving products, and kitchens facilities of a global our products offer many advantages quality combines the elegant form such as superior protection from cal- By: Khawla Ibrahim and the innovative technology. cification and ideal water flow rate RAK Business Magazine met Mr. Imad Kokash “KLUDI RAK” even in difficult conditions for water General Manager, who spoke with great enthusiasm about “KLUDI RAK” confirms its presence flow, as well as anti-clogging and sedi- this pioneering brand, and its beginnings and presence in the as a sign that upholds the criteria of mentation filters. In February 2008, His Highness local and regional market saying “The launch came from the sustainability and conservation of principle of the need to provide an integrated product that the environment, especially the ra- Sheikh Saud Bin Saqr Al Qas- “KLUDI RAK” highly values the loyal- meets the growing demand for RAK Ceramics products. tionalization of water consumption, simiinaugurated the "KLUDI RAK" ty and trust of its customers and has In addition to the ceramic products, there was a need to have about this commitment “Eco-friendly sought to offer a ten-year double man- to enhance the presence of the mixers for bathrooms and kitchens. The company aimed to production methods and the intelli- ufacturing guarantee and eco-friendly industry sector in the emirate fill this gap by seeking to provide an integrated service to its gent use of resources is a long-term European parts, all supported by after customers to achieve the quality and integration equation commitment for us. From the begin-
22 | RAKBUSINESS RAKBUSINESS | 23 INTERVIEW
building a civilized society governed by jus- the quality of the services they provide where and stability enjoyed by the state through tice and security. they continuously handle the observations their presence in various sectors and institu- And in order to highlight the nature of the on the work of these companies in order to tions in the state and securing them to many BUSINESS work of these companies and the role they promote improvement and development in sites as the first responder in the event site play in training, qualifying and honing the the private security sector. and taking preliminary measures that limit INTERVIEW | 24 skills of the guards to be a key partner in the aggravation of the event through As well | 28 DEVLOPMENT driving economic growth and securing a safe 48 LICENSED SECURITY COMPANIES as securing the scene of the crime until the | 34 LEGAL CONSULTANT and attractive environment for investments He said: “The management of the Private Se- arrival of the competent security services to and capitals from the vision of “private secu- curity Business Department for the General the location of the event or the crime also rity protects your investment” RAK business Directorate of Security Support in the Gen- contributes to the preventive part of their met Mr. Lt. Col. Saied Obaid Al-Shamsi, Di- eral Secretariat of the Office of HH the Dep- side to reduce the occurrence of crimes” – rector of the Private Security Business De- uty Prime Minister and Minister of Interior Al-Shamsi cleared . partment at the General Directorate of Secu- has linked the management and concerned rity Support at the General Secretariat of the companies in an integrated electronic sys- Al-Shamsi explained that, thanks to the co- Office of HH the Deputy Prime Minister and tem that provides private security services in operation and joint communication with Minister of Interior, who at the beginning of the country, including areas of training and the private security sector, and according his speech stressed the keenness of the Min- licensing and subsequent follow-up and en- to the periodic reports, the sector witnessed istry of Interior to follow the best practices hances the ease of Reports receipt and secu- excellence and continuous improvement in regulating the private security sector to rity information in a way that achieve speed and achieved great satisfaction with the assist criminal justice and law enforcement in response, communication and data avail- customers during the past few years and the agencies to assist police and security agen- ability. It has worked on a number of pro- reasons for this excellence are due to the cies in maintaining security and protecting jects and initiatives in coordination with great support of the police leadership of the property and investments. the concerned authorities in the Ministry private security sector, as well as the coop- of Interior, including the implementation eration of private security companies in the Promote an attractive investment environ- of administrative services and operations implementation of Ministerial Resolution ment to support its supervisory role in the private No. 557 of 2008 in the executive regulations “The UAE is one of the world’s leading coun- security sector in the country and the work is of Federal Law No. 37 of 2006 on private se- tries that has been keen to provide a safe underway to implement an initiative to pre- curity companies. environment for investment, in accordance pare criteria for the classification of security with the best standards to achieve the secu- companies, which reached 48 companies in CRIME PREVENTION AND PROMOTION rity and safety of society” Al-Shamsi said, the State within the jurisdiction of the Min- OF COMMUNITY SAFETY He stressed the importance of developing istry of the Interior. Al Shamsi pointed to the keenness of the partnership between the ministry and var- management of the Private Security Busi- ious private sector activities to promote The first responder at the event site ness Department to enhance the sense of awareness and educate investment owners “Private security companies play an impor- reassurance through the presence of se- and private companies to follow all instruc- tant role in maintaining the state of security curity personnel in vital sectors in order to tions and directives issued by the Ministry provide a safe environment for the mem- of the Interior to ensure the creation of a bers of the community and institutions as a stable security environment away from any Al Shamsi praised the support of the su- first responder and supporter of the police intrusions may impede the development of preme police leadership in the Ministry forces, dedicated to an integrated doctrine investments and economic and industrial of Interior to the management of the that is compatible with the rules and pillars work in the State. Private Security Business Department, of security and safety, according to a mod- which contributed to achieving many de- ern vision that achieves a qualitative leap STRATEGIC PARTNERSHIP velopmental achievements and achieving In outstanding performance, contributes to the vision and strategy of the Ministry “The Ministry of Interior believes in the im- reducing crime and promoting the safety of of the Interior which believes in the im- portance of developing the strategic part- portance of partnership with the private society. nership between the Ministry and the com- security sector within the framework of Al-Shamsi called on all companies and panies concerned in providing its security governance, which contribute to achiev- economic activities to rely on the licensed services and complying with the standards ing discipline in accordance with the guards in the investment sector, which con- DIRECTOR OF PRIVATE SECURITY BUSINESS DEP. and requirements approved by Federal Law best standards in order to achieve the tributes to reducing the occurrence of acci- No. 37 of 2006 and its executive regulations security and safety of the community, to dents of various kinds such as fires, robber- SAEED AL-SHAMSI on the work of private security companies attain the quality and development in the ies and other crimes. It provides a safe and which includes the terms of licensing for performance of security tasks in order to healthy environment for business develop- enhance safety and security in the coun- PRIVATE SECURITY PROTECTS YOUR INVESTMENTS By: Zainab Shieha the services it provides in the areas of gen- ment and investments, based on the ability try, and this thanks to cooperation and eral security guarding, funds transfer, cash partnership in this field with all parties and expertise of the private security sector The United Arab Emirates is keen to enhance its mote the highest levels of security and stability. centers, security of hotels, hospitals, air- concerned, and serves both sides of the to meet the challenges and all possibilities. role in the development of the private security The idea of organizing private security compa- ports, banks, events, vital installations, se- relationship and encourages its conti- Due to the efficiency of the knowledge and sector to be more professional in order to meet nies stems from the importance that this aspect curity training and other security activities.” nuity and growth, through the exchange the types of specialized training received the future security needs and achieve the gov- occupies in the police establishment, based on Al-Shamsi added. of experiences and opinions, which will by human cadres in the management of ernment’s aspirations in making the country a the challenges and facing any risks in the inter- He stressed the Ministry’s keenness on sub- contribute to the strengthening of gov- the organization of private security compa- center for attracting the best international ex- nal environment in order to reduce its negative jecting private security companies to secu- ernment efforts that seek deliberate steps nies and in the National Security Institute pertise and applying the best advanced practices impact, in response to the Ministry of Interior’s rity audits prior to their licensing. They are to achieve leadership in the service of our through the prioritization of risks, its im- that contribute to the safety of the society and its mission to build a social culture that believes monitored periodically after licensing and society and strengthen the efforts of secu- portance and classification. rity stability in the country. protection from crime and its causes and to pro- that respect for the law is an essential part of practicing their activities, and evaluating
24 | RAKBUSINESS RAKBUSINESS | 25 OPNION
Low inflation rates support economic
IN RAS AL KHAIMAH ... development in the emirate
DIVERSITY AND ECONOMIC STABILITY The Consumer Price Index (CPI) The consumer price index was calculated on the basis of the year 2014. The is a statistical indicator that reflects Center depended in calculation of the consumer price index on the new version TWO SIDES OF A SINGLE COIN the relative change in prices of goods of the basket of goods and services launched by the Federal Authority for Com- and services that represent private petitiveness and Statistics since 2016, which contained 1200 commodities and consumption in the economy over a services classified in 12 major expenditure groups as per the International clas- Dr. Abdel Halim Moheisen period of time called the comparison sification "Classification of Individual Consumption by Purpose" as part of the Economic growth over the past years has than the overall level of economic growth in the process of implementing the new period, compared to another period Center's efforts to build an advanced statistical system in the Emirate. maintained its stability and sustained of the country, and the relative stability in licensing system to facilitate the establish- called the base period. Its impor- momentum, despite the consequences these rates, as reflected by the decrease in ment of businesses and reduce the period of global geopolitical developments and the standard deviation index of these rates of establishment to 15 minutes depending tance is a central tool for measuring Major Expenditure 2010 2011 2012 2013 2014 2015 2016 2017 continues decline of global oil prices. This of the emirate, which is 1.3 compared on the directions of the Government of consumer price change directly and is a result of the characteristics of the do- to the general level of the state Which is the UAE and the collection of fees for all is an important reference for deci- General Index 91.99 94.78 94.78 94.78 100.0 103.01 102.60 46.104 mestic product that reflect its diversity and about 11 per cent of GDP in 2015. government agencies associated with the sion-makers in the public and pri- Change Percentage 2.22 3.03 2.5 1.37 1.54 3.01 (0.4) 1.81 openness to more than one sector com- services of the Department, as well as the vate sectors in making investment pared with many economies in the region Within the framework of the stability of launch of renewal services via text messag- decisions and economic policy-mak- and the state. In general, over the past five the emirate’s economy, inflation rates es by the end of the first half of 2018, the ing. In general, inflation rates in the الرقم القياسي ِلسعار المستهلك -0102 7102 years there has been no significant change have maintained stability during the past department is also launching two initia- Emirate of Ras Al Khaimah are low in the structure of GDP, as the industrial years, reaching 2.3% during the period tives to facilitate business - licensing and and economically acceptable, and manufacturing sector continued to ac- 2010 to 2015, and even this rate declined outsourcing in the first quarter of 2018. are a source of satisfaction with the quire about 30% of GDP, taking into con- slightly by about 0.4% in 2016. Food and In addition, the Department is working to sideration the industrial sector, in both transport services were among the com- launch optional health insurance services specialists in the economic affairs its terms of transformation and extrac- modity groups that declined significantly for businesses, which will be an insurance in the emirate, as shown by the low tion, this ratio rises to about 36% of GDP. in 2016, while prices of educational servic- umbrella for private sector workers and rates of change in the consumer While the other sectors that contributed es, restaurants and hotels rose sharply. their families, thus supporting economic price index during the period 2010- most were the construction and real estate development. The department will soon 2017. sectors and then the trade sector. The con- The inflation rates referred to above, launch a promotional system for tomor- tribution of the industrial manufacturing whether in 2016 or during the period 2010- row’s licenses in partnership with the pri- For the year 2017, the estimates of sector in the emirate is much higher than 2015, are within the normal rates. The vate sector. While at the level of internal RAK Center for Statistics & Studies the average contribution of this sector at “natural rates of inflation” can be said ac- operations improvement, the Department shows that the annual inflation rate the state level, while the contribution of cording to most measures and economic will launch the second phase of “Boabati” will be around 1.8% for the year as the real estate and construction sectors studies, and they constitute an important in the fourth quarter of this year, which It is noteworthy that the country’s consumer price index increased by 1.6% in was much higher. Free zones in the emir- incentive for doing business without bur- will increase the efficiency of internal op- a whole based on data for the first 2016 compared to 2015, while the index in Ras Al Khaimah during the same pe- ate contribute 15 to 16% of GDP. dening the consumer. erations and reduce costs by 80%. three quarters of the year. The ex- riod decreased by 0.4%. This indicates that inflation rates in the UAE in general pected increase in 2017 as a whole and Ras Al Khaimah in particular are low and support the development process. The economy of Ras Al Khaimah is one Efforts to preserve diversity and econom- The Department is also working on con- is attributed to the rise in the price As shown in Figure 2, despite the high rate of inflation in 2015 by about 4% and of the most diversified in the region, with ic stability are further enhanced by the tinuous communication with the busi- indices of a variety of goods and ser- 3% at the level of the State and Emirate, respectively, it has recorded a decline an estimated 67% in 2015 compared to use of the emirate’s unique geographical ness community and their views on the vices (including personal care and of about 1.6% at the level of the state and about -0.4% in the Emirate of Ras Al 56% for the country, according to the 2015 position and important location in the business environment for continuous im- accessories, auto insurance, gifts, Khaimah in 2016. GDP. This diversity has been the main fac- regional and global supply chain. Trade, provement. In this regard, the Department watches, etc.) by 11%, followed by The rise in the general index of prices in the emirate during the year 2015 is tor in stabilizing the relative growth rates transport and logistics sectors are seen as has initiated the development of the Busi- restaurants and hotels by 4.8% and achieved by the emirate compared with a reliable target sectors to make the emirate ness Environment Index, which is issued mainly due to the increase in the indices of the prices of alcoholic beverages and education by 4.4%. number of economies in the region, the a distinct commercial and service center quarterly. This indicator measures the tobacco, education, housing, water, electricity and gas, which have a combined emirate is looking at economic diversifica- in the region. It is hoped that the emirate assessment of business owners and their relative weight of about 30%. tion as a strategic option that is essential will become a global platform for domes- satisfaction with the business environ- As shown in Table (1) and Figure (1) for achieving sustainable economic devel- tic and foreign trade, given the network ment in the Emirate. The Department has below, the inflation rate was nega- معدل التغير الســـنوي في الرقم القياسي لسعار لمستهلك opment. Therefore, the government has of established and diverse trade relations prepared a special form for the revoked tive (-0.4%) in 2016, which means a 7102 -0102 continued to develop economic sectors it possesses or seeks to form in the future. licenses owners to identify the reasons decrease in the general level of pric- and activities of all kinds in order to pro- for cancellation of these licenses and the es despite a slight rise in the prices mote development opportunities and sus- In this context, the Department of Eco- challenges and difficulties encountered in of some goods and services. The tain them away from the high volatility re- nomic Development (DED) in Ras Al order to better understand the nature and low level of inflation during the year sulting from the concentration of growth Khaimah, as the main authority in the field areas of improvement in the field of sup- 2016 was due to prices drop in the in a particular and specific sector as is the of sustainable economic development, port and development of business in the transportation sector by about 5%, case for the oil sector in the countries of looks forward to continuing to improve emirate, naturally the results of previous the region, in this contest, the tourism sec- the business environment by rationalizing indicators are discussed at the highest lev- food and non-alcoholic beverages by tor is a top concern. Economic diversifica- the cost of starting a business and reduc- els in order to take the necessary conclu- 2.7%, alcoholic beverages and tobac- tion contributed to two important issues: ing the procedures required to issue and sions and recommendations. co by 1.1%, while the highest group achieving higher economic growth rates renew commercial licenses, it is currently was education group by 3.8% and res- taurants and hotels by 3.3%.
26 | RAKBUSINESS DEVELOPOMENT
dinates and cooperates with federal and local government authorities in relation to civil avia- tion matters, coordinates with all partners in the Emirate to develop the tourism and travel sector, CORPORATE SECURITY..THE NEXT DIMENSION promote economic growth in the emirate and create added value for both domestic and foreign Last decade has seen total transformation of businesses practices investors to promote the emirate as a destination and personal preferences. Today, we do many things much faster, for tourists and investments, both alike. different and easier than we did few years back. The convenience of grocery shopping to travel plans over few clicks seem to have lost the The Chamber is in the process of entering into excitement and are now becoming the norms. Sooner than we can further agreements to enhance the presence of plan or prepare; the role of human behind the steering wheels would Ras Al Khaimah as a landmark in the aviation in- change from driving a mechanical luxury to effective use of travel dustry and to consolidate its position as a distinc- time yet, it will not stop there and virtual meetings on the move will tive tourist destination, and to further enhance become a practice. its economic growth, including the agreement Amidst all the above; the risk landscape is changing dynamically and with “Air Arabia” to accordingly become the offi- Corporate Security as business support function is undergoing and cial carrier of the emirate and provide its services shall continue to change from broader disciplines such as Asset Pro- from Ras Al Khaimah International Airport. The tection, Loss Prevention & Risk Management to Speciality Domains RAKDCA seeks to maintain the promo- move has contributed in linking the emirate to like Crises Management, Business Continuity and Information Secu- tion of open skies policy, which aims to many of the region’s most dynamic destinations. rity . This mandates a paradigm shift in how the business leadership promote the growth of domestic and It also aims to attract more regional and interna- looks at Security as a cost centre, and also for security professionals international aviation in the Emirate tional airlines to the airport, and the region in as to, how they design, plan, implement and manage the continual general, to connect Ras Al Khaimah with a num- improvement of security function integrated within each business ber of vital destinations in the region and to in- division. The desired scope of corporate security will be beyond the crease the number of flights that residents of the contemporary building design, technological hardware and articulat- and safety of air space, air traffic and emirate and neighboring Northern Emirates can ed policies evaluated through violations and audits. air navigation, and to comply with the access. The new regime will embed security into every process and investment highest quality standards under the In the year 2017, Ras Al Khaimah International decision for resilience of projects and products or services to safeguard guidance of the General Civil Aviation Airport recorded a remarkable increase in the against complexities, inter dependencies and possible interruptions. Authority in the State with the aim number of passengers by 9%, after its facilities, The need is to identify, develop and provide a rational framework that RAKDCA... of providing the best aviation servic- departments, buildings and equipment have wit- covers all aspects of business planning described below: es while adhering to the security and nessed a development and modernization that ֺ Financial: The costs incurred to maintain security architecture and safety of the country’s territory and keeps pace with the development of the air trans- also the measures to capture economic impact of actions taken, PROGRESS IS PARALLEL TO THE TOURISM AND supporting the aviation and aerospace port industry, Ras Al Khaimah confirms once missed and forecasted to financial objectives -industry. again its presence as an international destination ֺ Customer: Measure taken for identification of market and custom ECONOMIC DEVELOPMENT IN RAS AL KHAIMAH The Department of Civil Aviation in starting from its airport flights to different conti- er segments where the business competes and delivers products the Emirate administers the admin- nents and cities of the world. and services. -istrative and technical aspects of Ras The opening of the aircraft shredding and re- ֺ Internal Business Processes: The ability of critical business pro Al Khaimah International Airport and cycling center at Ras Al Khaimah International cesses to withstand an interruption, mitigate the loss event and issues the initial approvals for compa- Airport, in cooperation with Falcon Aircraft Recy- recover to a standpoint where continuity of business operation is nies wishing to conduct civil aviation cling, is the first of its kind in the region to cut and ensured. Since established in 1976 under the Civil Aviation in Ras Al Khaimah seeks activities for companies wishing to recycle aircraft that have exited the air transport ֺ Learning & Growth: The ability of business function to develop and wise leadership of His Highness to raise the air transport sector in the operate through the airport. It also su- service, where the center cuts all types of aircrafts diversify competencies commensurate with risk matrices and in- Sheikh Saud Bin Saqr Al Qassimi, Northern Emirates to new horizons of pervises all employees in the airport in in an regulated manner and then the pieces are tricacies of each business function. Member of the Supreme Council and excellence, in conjunction with sup- the field of safety and security, and to disposed of in a way that is not allowed to return There are myriad approaches that a security leader can take to en- Ruler of Ras Al Khaimah, and under porting the ambitious development ensure the safety of the measures that to the civil aviation industry again, and the com- sure a future fit, business driven and responsive security unit that the directives of His Highness Sheikh plans of the Emirate. keeps the security of the airport area pany is in the process of coordination to obtain compliments resilience to each organizational function and is seen Mohammed Bin Saud Bin Saqr Al Qa- and the functioning of the airport not the necessary approvals to provide aircraft main- as profit protection team. The essence of security strategy should be simi, Crown Prince of Ras Al Khaimah The Department of Civil Aviation in affected, and that it properly address- tenance services to provide customers with many integration and application of security policies within the business and Chairman of the Executive Coun- Ras Al Khaimah seeks to maintain the es the safety of air navigation and the aircraft maintenance and repair services. framework and a continual exploration for refinement, up gradation cil, to develop the civil aviation sec- promotion of open skies policy, which functioning of its devices, It handles In keeping with its commitment to quality man- and practicing of contingency plans to rationalise the intangible con- The Department tor in Ras Al Khaimah and keep up aims to promote the growth of domes- systematically negotiations with airlines, follows agement standards and continuous develop- tributions towards brand development, market share and organic coordinates and with the tremendous development tic and international aviation in the up the affairs of travel and air freight ment, the department has been keen to obtain business growth. cooperates with witnessed by this sector locally and emirate on an equal base with the glob- agencies, provides the necessary facil- the ISO 9001 - 2008 for Quality Management Sys- federal and local internationally, and follow up all the al civil aviation industry. ities and acts as a link between them tem, by the British Institute of Standards “BSI”, in government author- projects and investments in the indus- and the Government in a manner that line with the strategy of the Government of Ras Al ities in relation to try. As the emirate of Ras Al Khaimah The Department oversees civil aviation does not conflict with the laws applied Khaimah to enhance performance in government civil aviation matter continues to assert itself as a leading and its affairs regulation in the Emir- in the State. departments and agencies, in parallel with inter- tourist destination, The Department of ate in order to maintain the security The Department systematically coor- national best practices.
28 | RAKBUSINESS RAKBUSINESS | 29 VAT
VAT differs from the sales tax (one of the consump- tion taxes types), as the latter is only imposed on transactions involving goods, and only on the final stage sales to the customer, while VAT is imposed on both goods and services and charged throughout the entire supply chain including the stage of the final sale. VAT is also imposed on the imports of goods and services to ensure equal opportunities for the VAT local suppliers that trades in the same commodities DEFINITION, AND APPLICA- and services TION MECHANISMS AND CONTROLS Should I be registered forShould VAT? I be registered for VAT? How do I register? How do I register? Is there any input tax thatIs Ithere any input tax that I If your taxable turnover - the Ivaluef your of taxable the turnover - the value of the The VAT registration form andThe tax VAT registration form and tax cannot reclaim? cannot reclaim? goods and services that you supplygoods and servicesany that you supply and any group registration form are availablegroup registration form are available imports, but excluding any exemptimports, supplies but excluding any exempt supplies via the online portal on the FTAvia the online portal on the FTA Yes. The VAT incurred on Yes. The VAT incurred on SALES TAX RATES (e.g. certain financial services(e.g. and certainlife financial services and life website. Please refer to the Downloadswebsite. Please refer to the Downloads entertainment expenses, motorentertainment expenses, motor insurance, some property transactionsinsurance, some property transactions section on the e-Services portalsection for on the e-Services portal for vehicles used for personal purposesvehicles used for personal purposes VAT rates are divided into three main sec- and local passenger transport)and - exceedslocal passenger transport) - exceeds more information on how to register.more information on how to register. and employee-related expensesand employee-related expenses AED 375,000 in a 12 month period,AED 375,000 or if you in a 12 month period, or if you cannot be reclaimed. cannot be reclaimed. tions: expect your taxable turnoverexpect to exceed your taxable turnover to exceed AED 375,000 in the next 30 days,AED 375,000you are in the next 30 days, you are A. The overall ratio UAE has started implementing the collection of VAT required to register for VAT. required to register for VAT.Can I form a tax group?Can I form a tax group? Which is 5% and is imposed on most If your taxable turnover, or expensesIf your taxable which turnover, orRelated expenses businesses which that shareRelated businesses that share in January under the Federal Law Decree issued by the you incur that are subject to VAT,you incuris less that than are subjecteconomic, to VAT, is financialless than and regulatoryeconomic, ties financial and regulatory ties goods and services AED 375,000, but more than AEDAED 375,000,187,500, but more than(either AED in law,187,500, shareholding or(either voting in law, shareholding or voting President of the United Arab Emirates, Sheikh Khalifa you can register for VAT voluntarily.you can register for VAT voluntarily. rights) may be able to registerrights) as a tax may be able to register as a tax How does VAT work? How does VAT work? group, if they have an establishmentgroup, if in they have an establishment in B. Zero percentage Bin Zayed Al Nahyan in this regards. the UAE and are legal personsthe under UAE and are legal persons underE-SERVICE E-SERVICEOnce you have registered forOnce VAT, you have registered for VAT, common control. Transactionscommon control. Transactions you will have to charge VAT (outputyou will have to charge VAT (output It is imposed on some types of goods and In view of the fact that this tax is imposed for the first between the group membersbetween are the group members are tax) on the supplies that you tax)make, on the supplies that you make, time in the countries of the region, we present hereun- disregarded and one memberdisregarded of the and one memberREGISTRATION of the REGISTRATIONunless they are exempt or zero-rated,unless they are exempt or zero-rated, services whose producers are entitled to AED AED group, called a ‘representativegroup, called a ‘representative and account for the VAT you andcharge account for the VAT you charge der its detailed definition and the mechanisms of im- 375,000 / 375,000 /member’, will file a consolidatedmember’, VAT will file a consolidated VAT to your customers on tax returnsto your customers on tax returns register and claim VAT refunds paid by return covering the activities returnof the covering the activitiesVAT REGISTRATION of the VAT REGISTRATIONmade to the FTA. You will bemade able to the FTA. You will be able to plementation considering the various procedural, legal 12 12 group. Furthermore, all suppliesgroup. made Furthermore, all supplies made reclaim the VAT you pay to yourreclaim the VAT you pay to your them on input and production require- or received by any of the tax orgroup received by any of the tax group suppliers (input tax) on your supplierstax (input tax) on your tax and technical aspects associated herewith. member will be treated as mademember by the will be treated as made by the returns, provided that you havereturns, a tax provided that you have a tax ments. representative member of therepresentative group – member of the group – invoice or other evidence of theinvoice or other evidence of the Zero percentage will be imposed on the In this context, we will attempt to explain some of the although all members of the groupalthough will all members of the group will supply or import and have paidsupply the or import and have paid the remain jointly and severally liableremain for jointly and severally liable for VAT you wish to reclaim. VAT you wish to reclaim. following major categories of supplies: basic concepts associated with the application of this VAT debts. VAT debts. -tax, to be followed in a subsequent editions a thorough ֺ Exports of goods and services to out analysis of their implications and its economic impacts. side the GCC. ֺ International transport and related supplies. What records will I needWhat to keep? records will I need to keep? When and how will I file taxWhen returns and how will I file tax returns When will I have to pay When will I have to pay Records need to be kept for atRecords least 5 need to be kept for at least 5 ֺ Supply of some means of maritime, air years. You will have to keep:years. You will have to keep: and what will be shown onand them? what will be shown on them? any tax due? any tax due? • records of all supplies and imports• records of of all supplies and imports of You will normally be allocatedYou a quarterly will normally be allocated a quarterly You will be required to pay anyYou tax will be required to pay any tax and land transport (eg: aircrafts and goods and services; goods and services; or monthly tax period accordingor monthly to your tax period according to your due by the due date for each duereturn by –the due date for each return – annual turnover, but the FTA annualmay allow turnover, a but the FTA may allow a i.e. by the 28th day of the monthi.e. by the 28th day of the month ships). WHAT IS VAT? • all tax invoices and tax credit• all notes tax invoicesand and tax credit notes and shorter or longer tax period ifshorter it considers or longer tax period if it considers following the end of each taxfollowing period the end of each tax period alternative documents received;alternative documents received; that to be appropriate. You willthat be to be appropriate. You will be (or on the next working day if(or the on the next working day if the ֺ Certain investments in precious metals Value Added Tax (or VAT) is an indirect • all tax invoices and tax credit• all notes tax invoicesand and tax credit notes and required to file the tax returnrequired for each totax file the tax return for each tax normal due date falls on a nationalnormal due date falls on a national alternative documents issued;alternative documents issued; period by the 28th day of theperiod month by the 28th day of the month holiday or weekend). holiday or weekend). (eg: gold and silver with a purity per- tax. Referred to as a type of consump- • records of goods and services• records that have of goods and services that have following the end of it (or on followingthe next the end of it (or on the next centage of 99%) tion tax and it’s one of the most com- been disposed of or used for beenmatters disposed not of or used for matters not working day if the normal dueworking date falls day on if the normal due date falls on -related to the business, detailingrelated the toVAT the business, detailing the VAT a national holiday or weekend).a national holiday or• Theweekend). value of any reverse charged• The value of any reverse charged ֺ Newly constructed residential proper mon types found worldwide. Where paid on those goods and services;paid on those goods and services; Tax returns will be filed electronicallyTax returns will be filedsupplies electronically received in the tax period.supplies received in the tax period. ties which are supplied for the first time • records of goods and services• records purchased of goods and services purchased through the FTA portal. through the FTA portal.• The value of expenses incurred• The in value the of expenses incurred in the applied in more than 150 countries, for which the input tax was notfor which the input tax was not On each return, you will needOn to eachshow: return, you willtax periodneed to where show: you seek totax recover period where you seek to recover within 3 years of establishment. input tax and the amount of input tax and the amount of deducted; deducted; • The value of standard-rated• supplies The value of standard-rated supplies including all EU member states, and recoverable tax. recoverable tax. -records of exported goods •and records services; of exported goods and services; made in the tax period and themade output in the tax period and the output ֺ Basic / specific services in the educa • imposed on most of the supplies of and and tax charged, per Emirate. tax charged, per •Emirate. The total amount of tax due• and The total amount of tax due and recoverable input tax for the recoverabletax input tax for the tax tion sector and associated goods and • records of adjustments or corrections• records of adjustments or corrections • The value of zero-rated supplies• The madevalue inof zero-rated supplies made in period. period. goods and services that are purchased made to accounts or tax invoices.made to accountsMoreover, or tax invoices. like all businesses, Moreover,you will have like all businesses,the youtax period.will have the tax period. services. • The tax payable (or repayable)• The for tax the payable (or repayable) for the to keep accounting records andto keep accounting records• The and value of exempt supplies• The made value in the of exempt supplies made in the and sold, and on each and every step of tax period. tax period. In addition, you will need to keepIn addition, a VAT you willdocuments need to keep that a relateVAT to yourdocuments business that relate to yourtax period. business tax period. ֺ Basic / specific services in the health the ‘supply chain’. record or account which shows:record or account whichactivities. shows: Such records and documents,activities. Such records and documents, sector and related goods and services. • output tax due on taxable supplies;• output tax due oninclude: taxable supplies; include: Generally, The ultimate consumer • output tax due on taxable supplies• output tax due on• taxable balance suppliessheet and profit and• balanceloss sheet and profit and loss accounts; accounts; bears the VAT cost while Businesses accounted for via the reverseaccounted charge for via the reverse charge C.Full exemption: mechanism; mechanism; • records of wages and salaries;• records of wages and Howsalaries; can I pay any tax due?How can I pay any tax due? When will I receive any repaymentWhen will I receive any repayment collect and calculate the tax, in a way • output tax due after the correction• output of tax due after• records the correction of fixed assets;of • records of fixed assets; There are a number of paymentThere are a number of payment These are some types of goods and servic- any errors or adjustments; any errors or adjustments;• inventory records and statements• inventory records and statements that I claim? that I claim? acting as a tax collector on behalf of mechanisms that will be availablemechanisms that will be available (including quantities and values)(including at the quantities and values) at the es for which no tax is imposed, and the • input tax recoverable on supplies• input or tax recoverable on supplies or to make a payment of any taxto to make a payment of any tax to Where you are in a repaymentWhere position, you are in a repayment position, end of any relevant tax periodend and of all any relevant tax period and all the government, while in some cases imports; and imports; and the FTA, via e-Dirham. If you thedo notFTA, via e-Dirham. If you do not the FTA will inform you that anythe FTA will inform you that any records of stock-counts relatedrecords to of stock-counts related to E-DIRHA E-DIRHA producers are not entitled to claim tax re- • input tax recoverable after •the input tax recoverable after the have an e-Dirham account pleasehave an e-Dirham account please repayment claim that you makerepayment has been claim that you make has been inventory statements. inventory statements. it may also receive a refund from the correction of any errors or adjustments.correction of any errors or adjustments. apply for one as early as possible.apply for one as early as possible. approved or rejected within 20approved working or rejected within 20 working funds. The exempted categories include: More information is available Moreon information is available on days. On occasion, however, days.the FTA On occasion, however, the FTA government on tax that it has paid to the e-Dirham website. the e-Dirham website. may inform you that considerationmay inform of the you that consideration of the ֺ Supply of some financial services (to be claim will take longer than that.claim will take longer than that. ֺ its suppliers, consequently, The net re- explained in tax legislation). .sult is that tax receipts to government ֺ Residential properties .reflect the ‘value add’ throughout the ֺ Bare / empty land .stages of the supply chain. ֺ Local passenger transport
30 | RAKBUSINESS RAKBUSINESS | 31 VAT
days from the end of the tax period in accordance son. Conversely, if the expenses relate to non-tax- with the procedures specified in the tax legisla- able supplies (tax-free supplies), the registered tion. Electronically using the electronic services person cannot recover the input tax. system. 23. In some cases, some of the registered person’s All companies must document 12. Companies shall keep records that allow the Fed- expenses may be associated with taxable sup- their financial transactions eral Tax Authority to obtain details of its activities plies and non-taxable supplies (such as financial to ensure that their financial and business transactions. A simplified example to services sector activities). In this case, the regis- records are accurate and 13. The taxable person must keep the tax invoices is- illustrate the VAT tered person must divide the input tax between regularly updated sued and received for at least 5 years. taxable and non-taxable supplies. 14. The location of supply shall be determined on 24. Companies are expected to use the input tax (re- the basis of whether the supply has occurred coverable to total ratio) as the basis for the distri- within the United Arab Emirates (in which case bution of the input tax, although there will be the the provisions of the Value Added Tax Law apply) possibility of using other fair methods if agreed or whether it was outside the State for purposes The farmer cultivates the with the Commission. of value added tax. cotton plant, which is 25. Fines and penalties for non-compliance will be harvested and sold to a 15. With regard to the supply of goods, the supply lo- factory imposed to ensure compliance with tax laws. cation is where the goods are located at the time Which include: of supply, with special rules for certain supplies • The person does not register the tax when he is (eg: water, energy and cross-border supplies). obliged to do so. 16. With regard to the supply of services, the place of • The taxpayer does not submit the tax declara- supply is the supplier’s place of residence with tion or payment within the specified period. special rules for certain supplies (eg cross-border The factory processes • The person does not keep the required records procurement). cotton and manufacture in the issued tax legislation. 17. VAT is worth the addition of customs duties paid of clothes to sell it to the • Tax evasion offenses where the person inten- retailer by imported goods and cannot be deducted. The tionally acts in violation of the provisions of the tax shall be calculated on the total value of the issued tax legislation. goods, including customs fees. 26. VAT can be deducted from the expenses incurred GENERAL REQUIREMENTS AND CONTROLS exceed the minimum income (which is doc- The factory collects the 18. VAT application for properties will depend on be- tax from the retailer for by companies in the following cases: 1. Companies are required to document the umented through their financial records) ing either commercial or residential. Commer- the benefit of the gov- • Companies are subject to tax (the final con- revenues and costs of their business, in must register in the VAT system. Companies cial property supply (sale or lease) will be subject ernment and the factory sumer cannot request a refund of input tax). addition to the value added tax associated that do not have to register for the VAT sys- to the basic rate of VAT (5%). recovers the tax it paid to • The tax is properly charged (unjustified / incor- the farmer The taxable person with those revenues and costs. Registered tem should keep their financial records on a 19. Residential properties are exempted from VAT in rect VAT cannot be refunded). must keep the tax invoices issued companies will add value added tax to all regular basis, allowing them to check wheth- general, and this ensures that VAT does not con- • Companies should keep documents showing and received for at their customers according to the prevailing er they must register for tax purposes. stitute a non-refundable cost to people who pur- VAT paid (tax bill). least 5 years tax rate. VAT should be paid on the value of 7. Companies are required to maintain a set of chase their own properties. At the same time, to • Goods or services obtained will be used or in- goods and services purchased from suppli- trade records that allow the Government to ensure that VAT can be recovered by the real es- tended to be used for taxable supplies. ers, and the difference between the tax col- verify the authenticity of their transactions. tate developer on the construction of residential • Refund of input tax may be requested only on lected and paid is the one paid to or refund- 8. If the amount of VAT collected by the compa- Clothes are stored in The tax shall be properties, the first supply of residential proper- stores and displayed to the amount paid or due to be paid before 6 calculated on the ed to the government. ny from its customers exceeds the amount ties within 3 years will be subject to zero. the consumer months from the date of the supply payment. total value of the 2. Companies must register for VAT if their tax- paid to its suppliers, the company shall pay 20. Companies registered in VAT may reduce their 27. In general, government procurement is subject goods, including able supplies (revenues) and imports from the difference to the government, however if obligations with respect to the output tax with to value added tax. This ensures that government customs fees abroad exceed the mandatory registration the value-added tax it pays is greater than the the value of the VAT amount relating to the dead agencies do not unfairly benefit from tax advan- limit of AED 375,000. value of the tax it receives, then the company debts that have been written off by the compa- tages when compared to private companies. 3. Companies may register for value added tax is entitled to a refund. nies registered for VAT. 28. Some purchases by government entities are ex- optionally if their taxable supplies and im- 9. Companies need to make some changes The consumer buys new Companies are sub- 21. In order to avoid double taxation in the case of clothes cluded from the scope of the VAT if they are not ject to tax (the final ports from abroad are less than the manda- in their core operations, financial manage- the purchase of goods used by a registered per- competing with the private sector or are the only consumer cannot tory registration threshold, but the optional ment, methods of calculations and account- son from another person not registered for the provider of such supplies. Some government request a refund of registration limit exceeds AED 187,500. ing records, as well as the technical means purpose of resale, the registered person for the Retail stores collect the agencies would have the right to recover value input tax) 4. Any company may register optionally if its they use, as well as changes in their human tax from the consumer for VAT may be charged the value added tax on sales the benefit of the govern- added tax, which was designed to prevent budget expenses exceed the optional registration resources (such as accountants and tax ad- of secondhand goods with reference to the differ- ment and recover the tax problems and to standardize prices between in- limit. This opportunity has been put in place visers) ence between the purchase price and the selling it paid to the factory ternal activities and outsourced activities. to opt-in to start-up companies that do not 10. It is essential that companies seek to align price (This is the profit margin). The value added 29. In respect of supplies to government entities, the Fines and penalties have income from VAT registration. their business with government reporting tax to be calculated by the registered person shall procurement treatment will depend on the pro- for non-compliance 5. All companies in the United Arab Emirates and compliance requirements be included in the profit margin. curement itself, not the recipient / receiver of the will be imposed to must document their financial transactions 11. VAT Declarations are to be submitted by 22. If a person registered for VAT carries the input tax supply. Therefore, if the supply is taxable in the ensure compliance to ensure that their financial records are ac- the taxable to the Federal Tax Authority on on his business expenses, he may recover the tax The final consumer is the basic amount, the tax treatment will remain the with tax laws one who bears the tax curate and regularly updated. regular basis (every three months or shorter in full if the expenses relate to taxable supplies or same even if the supply is to a government agency. 6. Companies whose business transactions period if the Commission decides) within 28 intended to be performed by the registered per- SOURCE: FEDERAL TAX AUTHORITY
32 | RAKBUSINESS RAKBUSINESS | 33 LEGAL CONSULTANT
The owner of the company shall not be liable for its obligations except by ! the amount of the capital provided ONE-MAN COMPANY in its memorandum of Association AN EASY WAY TO ESTABLISH YOUR OWN COMPANY The law introduced a new form of companies in its articles no. (55, 154) that is the only-man company. It development a mechanism to establish the same. The new law allowed a single person (citizen) to establish a company totally owned by him without the need of any other partner, while the previous law did not regulate or permit such form of companies.
Lawyer: Hanan Salem Al-Bayad Al-Shemili Whereas, the law no. 2 of 2015 on com- its term or prior to achieving the purpose mercial companies was adopted and stated in its memorandum of association, enforced by the end of June 2015, giving he shall be liable to pay his obligations the opportunity for various companies to from his own funds. adjust their status in accordance with its provisions before the end of July 2016. It Differences between one-man company was implemented after extensive studies and sole proprietorship: and deep consultations. There is a set of differences between each The one-man company is a form of own- of one-man company and a Sole Proprie- ership of economic projects guaranteed torship, some of which can be listed, as by the new commercial company’s law in follows: order to the exercise an economic activi- 1. A one-man company is a corporation ty aimed at making a project. The owner with a legal personality independent of of the company shall not be liable for its the personality of its owner or founder obligations except by the amount of the – although it is an establish by only one capital provided in its memorandum of partner/shareholder – it is subject to the Association. The provisions of the legal to the companies act, and may be either a form set forth in this law shall apply to it closed joint stock or limited liability com- provided that it does not contradict with pany. same areas of joint stock companies of companies projects the rest of the their nature. Unlike a Sole proprietorship, it does not and limited liability in terms of vol- owner’s money and makes it safe in In terms of liquidation of termination of have an independent legal personality. It ume of activity and capital. case the company suffered any losses. this form of companies, the new law men- is followed by a personality of its owner As opposed to being a sole proprie- tioned several cases, such as the owner only and is not subject to the companies torship whose area of activity is not One of the advantages of this form of decided to make such liquidation or de- act. specifically defined, as in a one-man companies is the ease of making de- cided to suspend its activity, if its term is 2. The one-man company has an inde- company. cisions within the company, since the expired, or the purpose contained in the pendent appropriation estate, and the owner in the one-man company has all memorandum of association is achieved. partner in this company is subject only With respect to the characteristics the powers and authorities as the sole The company shall also dissolve upon the is partnership proportion in the compa- of a one-man company, the most im- partner, and is not abound to the take death of its founder if the owner is a natu- ny. That is to say, it is a limited liability to portant characteristic is the limited of consent of any person. For example, ral person unless otherwise, the heirs de- the amount of the company’s capital, al- liability of the owner. Such the lim- the owner has the ease to the transfer sire to continue with the adjustment of its though he is the sole partner. ited liability means that the owner or merge with third parties without status in accordance with the provisions Contrary to the Sole proprietorship, it is liable only with the amount of his much time and effort to convince of this law. They shall choose the person does not have an independent appropri- share in the capital of the company. In other partners, thus acceleration eco- who will manage the company on their be- ation estate than the personality of its other words, the liability of the owner nomic growth.In a word, this form of RAS AL KHAIMAH half. The company shall dissolve upon the owner. He is liable for all the rights and is limited before the third parties by companies is an excellent opportunity ADVOCATE expiry of the legal personality if the owner obligations of the Enterprise and the the amount of capital resisted in the brought by the legislator to enable all is a legal person. It should be noted here guarantor of all the creditors’ rights of the Memorandum of association and with national entrepreneurs to establish that if the owner of the one-man compa- enterprise. the concerned authorities; the com- and own a company easily, in order 0527319518 - 072336008 www.rakadvocates.com ny intended to liquidate it in bad faith, 3. Fields of activity of each are different; pany with all its assets is liable for any to adopt their invest innovations and [email protected] suspends is activity prior of the expiry of the one-man company’s fields are the obligations o third parties. This form business concept.
34 | RAKBUSINESS RAKBUSINESS | 35 STUDIES
TECHNOLOGY STUDIES | 36 TECHNOLOGY | 38 2018 COMPANIES | 40 DIGITAL TRENDS
The inevitable boost in technology and digital marketing within the GCC has seen innovation, creativity and inspi- ration adapt to global advancements including Apple Pay and regional ma- terialization of digital super-hubs like NEOM in Saudi Arabia. Needless to say, digital disruption is screaming from the rooftops saying it’s here to stay. Acclimating to significant changes in the digiworld, businesses in the region are steadily, but surely, embracing the idea of ألكســندر روســر الرئيــس التنفيــذي ومؤســس وكالــة احللــول الرقميــة بروتوتايــب إنتراكتيــف digital transformations and are welcom- ing on board an understanding of what a to our daily processes. It will complete- digital transformation truly entails. ly revolutionize the way big entities in- VIDEO Understanding what tech advance- teract with data on a large scale. While text ads will still create an im- ments made their mark this year, Al- With our devices gaining the ability to pact, trends from the past years show exander Rauser, CEO and Founder simply ask us what we want to do, AI is users leaning more and more towards of digital solutions agency Prototype also expected to lead to the extinction video content Interactive, picks the top three trends of keyboards. Visual stimulation from videos is in- that businesses can anticipate in 2018: comparable to that of text and is more SOCIAL MEDIA AD SPEND SOARS likely to leave a lasting impression in ARTIFICIAL INTELLIGENCE (AI) With over a billion social media users one’s mind. Video also enables us to Equipped with the ability to improve, around the world, Facebook and Ins- deliver a message more effectively than intuitive and easily accessible, the fu- tagram ads will see businesses push text as too much text is not always good ture of AI looks bright. traditional marketing tactics aside as text and shorter text may not be easily they immerse themselves in analytics comprehensible. Needless to From chatbots to robots that can sense of cost-per-clicks. The above trends are and will be sub- say, digital emotion in tone of voice and through Ability to correctly identify and narrow ject to change with the ever-developing disruption is facial-expression recognition, develop- down target audience, instant commu- landscape of the digiworld. But, one screaming ments in AI will soon begin to define nication, reach and engagement, will thing is for certain - the tech world and from the roof- how we function in unison with tech- all drive ad investment towards pro- its advancements will never cease to tops saying it’s nology, how we derive data and apply it moted posts and boosts. amaze. here to stay
IS YOUR SOCIAL MEDIA PERSONA IMMORTAL? cial media accounts has become a sig- tal and physical, are handled according access to important details and pass- nificant consideration for succession, to their wishes after death.” words.” Hird added. With more than one billion Facebook users globally, to their digital footprint once they pass away, while an alongside property or financial assets. For those wishing to hand over their Whilst including your social media as- and more than 500 million daily users on Instagram, it overwhelming majority (89%) would wish their social Sean Hird, Director, DIFC Wills & Pro- social media assets, partners ranked as sets is not a service available at the Reg- is logical that each day thousands leave their social me- media account to be deactivated. The Registry’s find- bate Registry said: “In a world where the person they would trust to run their istry – there are ways that you can take dia accounts unattended after they have passed away. ings challenge a 2016 research report by the University many spend as much time online as social media as ‘legacy’ pages. On the care of tomorrow and manage your so- Some social media channels, such as Facebook, offer a of Massachusetts** which produced the startling statis- 89% offline, it makes sense that we should other hand, nearly one-in-two would cial media legacy. ‘legacy’ option that allows users to pick who would look tic that, based on current Facebook trends, profiles of consider how we pass on all of our as- not wish to give access to their mums, Registering a Will with DIFC Wills & after their account in the event of their death, but not late users would outnumber living users by 2098. would wish sets, including digital. This highlights even when they’re no longer around to Probate Registry is one of the basic everyone is comfortable being memorialised. Just under half (42%) of those questioned, said they con- their social just how important it is for individuals be embarrassed. steps that every individual with assets in In a recent poll, the DIFC Wills & Probate Registry (the sider their digital footprint as an asset, whilst a quarter media account to think about what happens to their “Passing on social media account de- Dubai or Ras Al Khaimah or raising chil- Registry) asked how UAE residents want to protect their of the respondents said they would include their social to be deacti- prized possessions. We strongly en- tails is similar to some of the practical dren here should take as part of their digital footprint and social media legacy. More than half media accounts in a Will or succession plan. This sug- vated. courage individuals to start their life ad- aspects of making a Will. This may in- life planning. For more details please of respondents (53%) have thought about what happens gests that thinking through what happens to your so- min so that their assets, including digi- clude ensuring your beneficiaries have visit www.difcprobate.ae.
36 | RAKBUSINESS RAKBUSINESS | 37 TECHNOLOGY
of industry(59%) , food services (73%), re- BESTSELLERS tail (53%), and accommodation and hotel BUSINESS BOOKS sector (73%). Where these sectors witnessed a steady 5 BY KINOKUNIYA development at the technical and techno- logical level, which puts them at great risk TRIBE OF MENTORS by TIM FERRISS of automation. Tim Ferriss, the #1 New York Times best-selling author Experts in this field say that we are in a of The 4-Hour Workweek, shares the ultimate choose- new world where we will soon find robots your-own-adventure book—a compilation of tools, tac- walking, interacting and learning from us tics, and habits from 130+ of the world’s top performers. Which will generate a new generation From iconic entrepreneurs to elite athletes, from artists more intelligent and effective. To what ex- to billionaire investors, their short profiles can help you tent can the challenges and fears of robot- answer life’s most challenging questions, achieve ex- ic control of the labor market and human traordinary results, and transform your life. exclusion be legitimate? And will these concerns and fears reduce the use of industrial automation and in- Foxconn! of PRINCIPLES: LIFE AND WORK by RAY DALIO telligence in the labor market? And how China, the world’s Ray Dalio, one of the world’s most successful investors decision-makers and officials can absorb largest electron- and entrepreneurs, shares the unconventional princi- these concerns and direct them in a pos- ics company, ples that he’s developed, refined, and used over the past itive manner, i.e. towards the continuous released 60,000 forty years to create unique results in both life and busi- training of staff and raising their efficien- workers and ness—and which any person or organization can adopt cy to confront the winds of change stead- replaced them to help achieve their goals. with robots ily, and to move towards the future at a confident pace that will not deprive peo- ple of their right to work and produce As the trend towards the introduction of HINKING, FAST AND SLOW by DANIEL KAHNEMAN And the same manager turns to a ro- begun to use the robot in their work robots in the labor market is no longer an Daniel Kahneman, the renowned psychologist and bot so that he can accurately judge the in order to increase accuracy and pro- option as much as an imperative necessi- winner of the Nobel Prize in Economics, takes us on a robot that will be approved to work in fessionalism, save time, reduce the ty imposed by the life process in the delib- groundbreaking tour of the mind and explains the two your company?! .. You will inevitably margin of risk, increase of productiv- erate approach to possess the skills and systems that drive the way we think. System 1 is fast, in- save yourself canteen expenses and ity and take into account the modern capabilities necessary to apply in all eco- tuitive, and emotional; System 2 is slower, more delib- drinks, and will inevitably have a new trends imposed by the Fourth Indus- nomic sectors and prepare human cadres erative, and more logical. The impact of overconfidence approach to the adoption of the com- trial Revolution in the labor market to deal with these variables and raise its on corporate strategies, the difficulties of predicting pany’s budget and vacation system In 2016, Foxconn of China, the world’s efficiency continuously what will make us happy in the future, the profound and wages, these are questions and largest electronics company, released And to address the enactment of laws and effect of cognitive biases on everything from playing concerns justified by the increasing 60,000 workers and replaced them legislation that regulate this transforma- the stock market to planning our next vacation, each of trend to automate most functions and with robots tion and protect it from the hands of the these can be understood only by knowing how the two business Because robots do not make mistakes, abusers. systems shape our judgments and decisions. It’s the age of robots that are bursting do not complain and do not demand It is noteworthy that these concerns took into our lives so that we cannot ignore an increase in wages, nor do they com- place in a large amount of expert discus- them or escape the winds of change, mit suicide due to the pressures of sions during the «Knowledge Summit RICH DAD POOR DAD by ROBERT KIYOSAKI the escape here is either suicide or work on workers in such giants com- 2017» held in Dubai last year Rich Dad Poor Dad is Robert’s story of growing up with jumping into recession. panies. And they stressed that the relationship be- two dads — his real father and the father of his best So what is the future of human labor Today, robots exist in many sectors tween “robot” and artificial intelligence friend, his rich dad — and the ways in which both men ؟! WORLD OF ROBOTS with robots breaking into the labor that require a lot of precision, sensitiv- will be complementary and not compet- shaped his thoughts about money and investing. The market? Overtime, will it turn from ity or gravity, and humans cannot do it itive with human cadres during the com- book explodes the myth that you need to earn a high IS INVENTION SUPERIOR just helping people to almost total optimally, stormed the military field, ing period income to be rich and explains the difference between control of the labor market? And later the medical field and Electronic indus- They mentioned during a session on Arti- working for money and having your money work for you. TO INVENTOR perhaps social life? And what if artifi- try, entertainment, automobile indus- ficial Intelligence and (Robot), where “ro- cial intelligence technology is used as try, service delivery and many more. bot Sophia” which is designed as a lady to an immoral class?! learn and adapt to human behavior and THE POWER OF HABIT by CHARLES DUHIGG IS IT AN INTEGRATIVE OR COMPETI- its conduct, was brought up, that “robots” In The Power of Habit, award-winning New York Times By : Yousef AlNuaimi AGE OF ROBOTS ! TIVE RELATIONSHIP? would work on the improvement of life business reporter Charles Duhigg takes us to the thrill- Do you imagine yourself as a manager of a com- Robot: A human, but an automaton A report by the McKinsey Global Insti- services ing edge of scientific discoveries that explain why hab- pany most of its employees are robots? And that performs actions that mimic tute showed in July 2016 Where jobs at And challenges the scarcity of some skills, its exist and how they can be changed. With penetrat- how will be the general social atmosphere in what humans do with great precision risk of automation and robotics were pointing out that the “robots” industry ing intelligence and an ability to distill vast amounts of the company? What would be called the human and skill thanks to the programming observed by analyzing more than 800 still needs to develop until the stage of full information into engrossing narratives, Duhigg brings resources manager then? Does he become a ro- stored inside it jobs in the US labor market, to come realization, which expands the scope of to life a whole new understanding of human nature and botic resource manager?!! Many countries and companies have first the professions within the sectors its work more. its potential for transformation.
38 | RAKBUSINESS RAKBUSINESS | 39 COMPANIES
2019 CORVETTE ZR1 RETURN OF THE KING
“I’ve never driven a Corvette like this before, and nobody else has ei- ther, because there’s never been one like this before,” said Mark Re- uss, executive vice president, Global Product Development, Purchas- ing and Supply Chain. “Its unprecedented performance puts all other global supercars on notice that the ZR1 is back.”
including, Jamie Dimon, the CEO of LEXUS... LEADS THE HYBRID ELECTRIC VEHICLE IN UAE ـــــــــــــــــــــــــــــــــ JP Morgan, Andrew Bailey, the head of exus at Al-Futtaim Motors, supplier of the largest line-up of British government’s Financial Conduct Hybrid Electric Vehicles (HEV) in the UAE, is reaping the ben- Authority, and the infamous Wolf of Wall efits of its diverse Hybrid Electric range with sales rising 251% Street, Jordan Belfort. EFFECTIVE DATA in 2017 compared with 2016. Like the internet of the late 1980s and exus Managing Director at Al-Futtaim Motors, Chris Buxton, AN IMPERATIVE FOR THE SUCCESS OF early 1990s, these are early days for Block- attributed the hike to an increased interest in HEV technol- chain, but there is enough hype around ANY COMPANY ogy in general, the introduction of two new HEV models in for Goldman Sachs to say the technol- The founder of Crystal Lagoons, the multinational water innovation company and 2017 including Lexus LC 500h and LS 500h, supported by ogy ‘has the potential to redefine trans- developer of the “world’s top amenity”, Fernando Fischmann, has outlined the dedicated efforts and promotional activities by the brand, in- actions’ and can change ‘everything’. technology trends he expects to have the greatest impact on ME business in 2018. cluding a Hybrid Drive-in experience in November, dedicated Bitcoin aside the technology behind the HEV-only display at the Dubai International Motor Show and development is not in doubt. other incentivizing offers throughout the year.
Another development in recent years is The Corvette ZR1’s exclusive LT5 supercharged engine, which is rated at that of Big Data. Big Data describes data an SAE-certified 755 horsepower (563 kW) and 715 lb-ft of torque (969 In terms of innovation and technology, based on.” sets so large and complex they are im- BORSCHE DESIGN HUAWEI Nm), is establishing a new benchmark in performance. Further, the ZR1 -elevates Corvette’s track capability with two wind tunnel-honed aerody ـــــــــــــــــــــــــــــــــ -Smart Cities have taken centre stage in And disruptive technology is not only practical to manage with traditional soft recent years, particularly in Dubai. Typi- confined to municipal operations, be- ware tools. But it can also be a vital tool An event was held over an hour flight in a luxury private jet namics packages, including an available High Wing that provides an es- cally, a Smart City is defined as an urban fore designs can even get off the drawing for analysis. and brought to life the unique features of one of the most timated 950 pounds (430.91 Kgs) of downforce. area using various types of electronic board, financial investment is required. New technologies make it possible to expensive smartphones in the market, highlighting its intelli- Most powerful ever data collection sensors to supply infor- This year Blockchain, the technology realise value from Big Data. For exam- gent performance and luxurious design. The Porsche Design The ZR1’s LT5 6.2L V-8 engine advances Corvette’s supercharging legacy, mation used to manage assets and re- behind the digital currency Bitcoin, has ple, retailers can track user web clicks to HUAWEI Mate 10 is built for luxury aficionados who want to which began with the 2009 sixth-generation ZR1 and continued with the sources efficiently. In so many ways that commanded numerous headlines and identify behavioral trends that improve experience the joy of unrivaled design, unmatched speed and 2015 seventh-generation Z06. The LT5 delivers the highest output ever clearly puts Dubai into that smart brack- piqued the interest of investors. campaigns, pricing and stock issues; and unsurpassed performance, with a 6GB RAM + 256GB ROM for a Chevrolet production vehicle, thanks in part to a new, more-effi- et, having launched various initiatives by utilities can capture household energy storage solution that maximizes performance. cient intercooled supercharger system that offers 52 percent more dis- integrating technologies such as Infor- “Blockchain is an undeniably ingenious usage levels to predict outages and to in- placement than the Z06’s LT4 supercharger. GM’s first dual-fuel-injec- mation Communications Technologies invention. Information held on a block- cent more efficient energy consumption. tion system, which employs primary direct injection and supplemental (ICT) and the Internet of Things (IoT) in chain exists as a shared - and continually “It is crucial there is a place for everything port injection, helps the LT5 achieve its record output. both hard and soft infrastructures. reconciled - database. The database isn’t and everything is in its correct place. And Seven-speed manual and eight-speed paddle-shift automatic transmis- Fischmann explained: “Dubai is com- stored in any single location, meaning that’s where Big Data comes in. Manag- sions are available with the LT5. It’s the first time an automatic transmis- Fernando mitted to becoming the smartest city in the records it keeps are truly public and ing data effectively is imperative for the sion has been offered in a ZR1. Fischmann, gives the world and is well on course to achiev- easily verifiable. No centralised version success of any business or organisation, Fastest ever his opinion on the ing this with 100 smart initiatives and of this information exists for a hacker to and is something we’re fully aware of at The 2019 Corvette ZR1’s aggressive appearance is driven by function, con- tech’ trends set 1,000 smart services to be completed be- corrupt, which is a huge factor in the cur- Crystal Lagoons,” added Fischmann. tributing to its distinction as the fastest production Corvette to date. to impact the ME fore the end of this year (2017). This es- rent climate of increased internet hack- Crystal Lagoons has always looked to- An all-new front fascia is designed to channel air for propulsion-system region in 2018 calating push to improve how Dubai can ing activity. But at the same time, it is ward innovation and technology for ad- and drivetrain cooling, with four new radiators bringing the heat-ex- and why Crystal function through real-time monitoring, hosted by millions of computers simul- vanced solutions to design, installation changer total to 13. A special carbon-fiber “halo” hood is open in the mid- Lagoons technology analysis and advancement of city deci- taneously and its data is accessible to an- and sustainable maintenance. The com- dle to clear the LT5 engine’s supercharger/intercooler assembly. Addi- is the perfect fit for sion-making is set to optimise efficiency, yone on the internet,” said Fischmann. pany focuses on enhancing people’s lives tional features, including aero packages with stanchion-mounted wings, Smart Cities such environmental sustainability and citizen However, Bitcoin itself has come under by resolving some of the world’s biggest help push the ZR1 harder onto the track for more confident handling and as Dubai engagement – many of the core objec- criticism from a number of leading and issues, such as water scarcity, energy, faster lap times. Top speed of the ZR1 is over 210 mph (337 kph). tives Crystal Lagoons’ business model is influential figures in the financial world pollution and lack of open public spaces.
40 | RAKBUSINESS RAKBUSINESS | 41 NEWS
TOURISM NEWS | 42 DESTINATION | 44
RAS AL KHAIMAH BEGINS NEW YEAR WITH A WORLD RECORD ـــــــــــــــــــــــــــــــــ Almost 1,100kg of fireworks created a 1km-long can- 1km in diameter when it was launched. opy of colour, making Ras Al Khaimah’s Al Marjan The certificate was presented to Abdullah Al Abdoo- Island one of the brightest spots on earth on New li, managing director of Al Marjan Island, and Phil Year’s Eve (NYE). Over 390 ‘comet stars’ splashed the Grucci, CEO and creative director of fireworks by night in the UAE’s national colours as the extrava- Grucci. 1090 kg ganza propelled RAK into the record books. Al Abdooli said: “The fireworks was a spectacular The record trumps the 2014 title set by the Kouno- success that welcomed visitors from around the Making Al Marjan su fireworks festival in Sitama, Japan, on October world and cemented the reputation of the emirate Island one of the 11, 2014. Compared to the 464.826kg firecrackers as a must-visit destination for NYE galas. Adding to brightest spots launched then, RAK deployed over twice the amount. the pride of RAK and our nation, the event is a true on earth on New Year’s Eve The shell in RAK reached a whopping 1,100 metres testament to the joint efforts of various governmen- from the ground to the top-end of the display; 650 tal entities, which ensured a safe and seamless cel- Begins New Year with a world record metres from the ground to the centre, and measured ebration.
42 | RAKBUSINESS BEYOUND JOURNEY
CULTURE & HERITAGE ـــــــــــــــــــــــــــــــــ The emirate’s diverse natural land- ly face a very large oval over ground scapes and abundance of water means tomb (Sh 99) 16m long and almost Ras Al Khaimah has been continuous- 11m wide. ly inhabited from the Ubaid period of 5000-3800 BC, right through to the Of Prayer & Palace: 20th century with countless artefacts In the ‘old’ city visitors are also wel- and historic sites to explore including come at the preserved resident of well-reserved forts, a national museum the emirate’s former ruler, Sheikh and even a ‘ghost’ town. Saqr bin Mohammed Al Qassimi and the intriguing Mohammed bin Sa- Museum Memories: lem Mosque – the only one left in the In the Ras Al Khaimah National Muse- emirate which is without a minaret. um, a former fort and palace of the Al The mosque has a surviving ‘prayer Qasimi ruling family until 1964, which call platform’ from which the “imam” has been structurally renovated, vis- would call the faithful of the nearby itors can view the emirate’s history village to prayer. Tours of the mosque through artefacts, some dating back to can be arranged by most tour opera- the 1600s and the days of Portuguese tors and hotels. and Dutch occupation. The Mystery of the Red Island: Shimal & The Queen of Sheba Palace: Mystique still surrounds the Al Jazirah Shimal, the region’s largest and most Al Hamra (Red Island) which retains important bronze age site dating back vestiges of architecture from an early to 4th millennium B.C. Here visitors 20th century pearling port. Myth and will find an extensive contemporane- legend abound as to why the villagers ous cemetery and a medieval fortress of the Al Zaab, one of Ras Al Khaimah’s locally known as the ‘Palace of the largest ancestral tribes, up and left this Queen of Sheba.’ The area has been once thriving seaside community. The settled for at least 4,500 years and its site that was home to Emiratis before former inhabitants benefited from its the oil is to be restored in conjunction proximity to the sea, pastures and cul- with the federal government. Al Jazirat tivable lands. Al Hamra takes its name from its coral The vast Shimal cemetery has some and adobe buildings which included a 250 tombs of different architectural mosque, wind towers, courtyards and types. Entering the main Shimal ar- houses with star-studded windows chaeological park visitors immediate- and wooden doors.
Hilltop Guardian: To the north of Ras Al Khaimah visi- tors can tour the 19th century Dhaya The emirate’s diverse natural land- Fort – the UAE’s only surviving hill- RAS ALKHAIMAH... scapes and abundance of water means top fort - and its adjacent oasis. Visi- Ras Al Khaimah has been continuous- tors can take in the fort’s fascinating ly inhabited from the Ubaid period backstory at their own pace through A DESTINATION GOING of 5000-3800 BC, right through to the self-guided tours and climb up to the 20th century with countless artefacts top. Originally built as a 19th cen- and historic sites to explore including tury fortification to defend against BEYOND well-reserved forts, a national muse- invading forces, it offers a glimpse um and even a ‘ghost’ town. into Ras Al Khaimah’s riveting past, Visitors also have a wide choice of ac- covering 4000 years of archaeology commodation – from ultra-luxurious and provides a modern symbol of 1000000 Ras Al Khaimah, the northern-most emirate of the United Arab Emirates beach resorts managed by some of the emirate’s enduring heritage. Its VISITORS IN 2018 (its name translates as ‘Top of the Tent’), has a fascinating history and the most notable names in the busi- elevated position offers breath-tak- culture dating back more than 7,000 years. Much of the history and cul- ness, to family-friendly city and beach ing bird’s eye views of acacia forest, ture can be experienced with guided tours taking in the ancient sites of resorts, city centre properties and re- traditional palm gardens, natural re- 2900000 this emirate, which was once known as Julfar and where traditions of de- sorts for the more laid-back adventure serve of khor Hulayla. VISITORS IN 2025 sert, sea and mountain life are still in evidence today. seekers.
44 | RAKBUSINESS RAKBUSINESS | 45 BEYOUND JOURNEY
GETTING ACTIVE ـــــــــــــــــــــــــــــــــ Whether it’s yoga on the beach, a stroll along is nestled on the edges of the Wadi Khadeja the coast, horseback riding, water sports, a with access to 500 hectares of nature reserve round of golf on all-grass courses or an invig- ready to be explored with guides through or- orating mountain hike, a stay in the emirate ganised horse treks. The reserve features a leaves visitors relaxed and refreshed. stunning natural desert landscape and free roaming wild life including sand gazelles, Play A Round: Arabian gazelles, camels and Arabian oryx. Ras Al Khaimah is quickly becoming a leading You can occasionally spot desert foxes and regional golf destination. Extensive facilities wildcats at sunsets and during the cooler at Al Hamra Golf Club, which now hosts the season. The Wadi hosts a unique mix of birds annual Ras Al Khaimah Golf Challenge, a Eu- such as the wheatears, babblers, falcons and ropean Challenge Golf Tour event, include an ravens. 18-hole, sea-front course (across 7,325 yards) Waldorf Astoria Rixos Bab Al Bahr with a broad range of facilities both on and Stroll, Bike or Jog: off the course. A floodlit course allows play af- The fresh early morning and sunset air are ter sunset. As an alternative, Tower Links also great for ‘open air’ activities such as stroll- offers an 18-hole course set against the mag- ing, biking and jogging. You can head off to nificent backdrop of the Hajjar Mountains. Al Qawasim Corniche or Marjan Island with its 2,000-metre Corniche or the Lagoon Walk ADVENTURE & SPORTS TOURISM ـــــــــــــــــــــــــــــــــ -Ride A Wave: running tack at Mina Al Arab. For off-road cy With over 60 kilometres of calm, crystal clear cling, make a beeline for Wadi Showka, Ras Lonely Planet may have summed it up: coastline and ideal, year-round water temper- Al Khaimah’s only outdoor cycling centre. “Outdoor enthusiasts love it!” it says of Ras atures, Ras Al Khaimah is a hotspot for water Nestled in the heart of Showka, 50 kilometres Al Khaimah. And with a carefully-planned strategy of probing the adventure and Al Wadi Desert Hilton The Cove Rotana sports. Take your pick from scuba diving, sail- of tracks are open to cyclists of all experience ing, jet skiing, wakeboarding, parasailing, fly- levels and offers bike rental, plus servicing sports tourism segments leveraging its su- perb array of natural assets, including the LUXURY & WELLNESS boarding and more. Or, set your lures and reel and repairs from highly-experienced moun- -in a catch with a deep sea fishing trip. Fishing tain bikers. Hajar mountain range and the UAE’s high ـــــــــــــــــــــــــــــــــ Wellbeing has been a signature character- male and female steam rooms and Wal- excursions are available at all Ras Al Khaimah est peak, Ras Al Khaimah is the Gulf’s key istic of Ras Al Khaimah for generations. dorf Astoria’s signature herbal sauna. resorts and provide the perfect offshore adven- Tour the Mangroves: destination for adrenalin-seekers. The emirate boasts fresh sea breezes, cool- ture for beginners and skilled anglers alike. It’s a gentle kayaking tour of the lush man- For some time, the emirate has been pop- er mountain air, and pure waters which Over at the five-star Rixos Bab Al Bahr, Expect to catch a vast array of species (some groves – so essential to the sustainability of ular with inveterate hikers tempted by trickle - and in winter sometimes cascade the Anjana Spa combines Turkish culture subject to sustainable catch-and-release pol- the emirate’s marine and wildlife. As you rocky pathways skirting ancient villages in - down the rocky Hajar mountain range, and tradition with a modern concept of icies), including King Fish, Barracuda, Cobia, meander through the channels, where the si- the Hajar mountain range which borders giving life to foothill natural springs, has wellness. Two ultra-luxurious Ottoman Trevallies, Snappers, Queen Fish and Sherry. lence is punctuated only by the shrill calls of Oman. Trekking and hiking the craggy seen people arrive in the emirate for gen- retreats are the largest spas in the emirate. birdlife and the splash of jumping fish, take trails are not for the feint-hearted and in- erations to refresh and reinvigorate. Each spa has a secluded private swimming Saddle Up: in the atmosphere which ensures the safety of creasingly the activities are being organ- Today, the traditional sense of wellbeing pool for sunbathing or a cool dip, as well Al Wadi Equestrian and Adventure Centre a variety of wildlife. ised into group tours. The range has also continues but is now complemented with as traditional Turkish hamams, where you A TASTE OF TRADITION: attracted motorists wanting to drive the recently-opened road which snakes 1,934 ـــــــــــــــــــــــــــــــــ luxurious spas, highly-skilled therapists, can embark on the time-honoured ritual acclaimed products and an increasing of a deep cleansing scrub performed be- You’ll be able to taste local food through- metres above sea level towards the summit range of wellness activities. Some of the neath the decorative architecture of an or- out the emirate – from the luxury of hotel of Jebel Jais. emirate’s spas are now award-winning nate central dome. restaurants, to the abundance of local ca- But Ras Al Khaimah Tourism Development including the Al Wadi Desert, Ras Al fes and food stalls. For a more ‘traditional’ Authority (RAKTDA) recently upped the Khaimah – a Ritz-Carlton partner hotel. The Hilton Spa features separate male and dining experience head to Al Fanar restau- adrenalin stakes with the launch of the Here, in a dreamy desert setting, local- female changing rooms, two Moroccan rant, where the ambience resembles that region’s only commercial Via Ferrata. Set ly-sourced herbs and spices, expert ther- hamams, nine treatment rooms and two of an Emirati family home in the 1930s and around Jebel Jais, the Via Ferrata (Iron Path) apists and restorative hydrotherapy facil- relaxing lounges. Guests have complimen- the menu is pure UAE with all of its east- sees enthusiasts climb, trek and zipline al- ities come together to create a chance to tary use of the amazing whirlpool tub, sau- ern influences. Round off the meal with a most 400 feet above sea level. The adventure truly unplug and reach mindfulness and na or steam room. stop at Ras Al Khaimah’s oldest ice-cream tourism product has seen more than 1,500 calmness. shop Ashuk, whose fans have now created adventure seekers complete the challenge At The Cove Rotana Resort massages in ca- a following on TripAdvisor for its signature since opening in November 2016. Designed with an undersea theme, the banas on the beach are a draw and compli- creamy desert packed with fruit. Ras Al Khaimah’s ‘Destination 2019’ strat- Waldorf Astoria Spa’s carefully chosen ment the resort’s Bodylines Fitness & Well- You’ll find seafood restaurants in abun- egy includes a roadmap for innovative hos- interiors of calming blue silk walls, floor ness Club, which counts a Jacuzzi, steam dance – with the catch having been harvest- pitality concepts that take advantage of the to ceiling one-way windows and artful room, sauna, seven massage rooms, ful- ed just hours before from Ras al Khaimah destination’s unique natural assets for lux- light pieces induce a sense of calm, taking ly-equipped gymnasium, fitness classes, shores - though meat dishes, predomi- ury mountain resorts and wellness retreats. guests to a serene place of peace beneath cardiovascular and weight training. You nantly goat and mutton, also make appear- With the zipline, cycling tours and unique the sea. There are six large treatment can then relax in one of two outdoor in- ances in the traditional family restaurants accommodation option planned, the poten- rooms, as well as one couples’ room, a finity pools set in the 600-metre pristine throughout the destination. Bil Afia! tial for activity, nature and adventure-based floatation bed for women, a hydro bath, private beach. tourism market is huge.
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