UAE e-commerce market set to hit $27b

Inayat-ur-Rahman, Business Editor

The UAE e-commerce market is expected to reach $27 billion this year chiefly due to exponential growth in Dubai’s small and medium enterprises as the emirate hosts more than 10,000 SMEs. E-commerce sales in the UAE are estimated to grow by an average of 23 percent per annum between 2018 and 2022, according to Statista.

 E-commerce in the UAE is set to gain further momentum as more businesses and shops gear up to strengthen their online services in the post-Covid-19 era, experts say.

Hatem El Safty, CEO of Business Link, said the UAE’s e-commerce sector is growing at a faster pace and soon it will join global powerhouses like the United States and China as high-net-worth individuals and millionaires flock to the emirate and show interest in Information Technology, online services, and start-ups.

“Based on the recent inquiries we have received; it is evident that the UAE has become a global favourite for entrepreneurs and investors alike. Most inquiries come from Sri Lanka, Russia, Egypt, and the UK and we are incredibly positive about this influx of interest from foreign investors,” El Safty said.

Elaborating, he said rising internet penetration, growing incomes, increasing presence of international players, and quick adoption of digital payment solutions drove significant growth in the e-commerce sector during the pandemic.

Faisal Qureshi, Chief Marketing Officer at Business Link, said the UAE’s e-commerce sector has a promising future as more investors are keen to set up their businesses in the country.

“We have observed an increasing trend of entrepreneurs wanting to start a business in the UAE. Especially post-Covid, increased people are interested in setting up their business here because of the incentives and support from the government,” Qureshi said.

“If you are an entrepreneur on the rise and looking to invest, expand your business, or going to launch a start-up in the UAE, reach out to Business Link. We will offer you a step-by-step guide to establish your base in one of the fastest growing economies in the region,” El Safty said.