AI-Integrated Business Registration Initiative Kicks Off in the UAE, Involving Mastercard, IFZA, and Global Tax Assistant
The United Arab Emirates (UAE) is set to take a significant step towards its goal of becoming an entrepreneurial nation, as Mastercard, IFZA, and Global Tax Assistant join forces to launch a fully digital, AI-driven business registration process. This initiative is in line with the UAE's digital transformation agenda and its strategy to strengthen the Small and Medium-sized Enterprises (SME) sector, key pillars of the nation's economic diversification strategy.
Efficiency and Speed
The AI-powered system simplifies and accelerates the business registration process, allowing entrepreneurs to quickly set up their businesses. This efficiency enables faster entry into the market and reduces bureaucratic hurdles, which can hinder innovation and entrepreneurship.
SME Growth and Expansion
By supporting SMEs, which account for over 94% of UAE businesses and contribute significantly to the country's GDP, the collaboration helps these businesses grow and expand into new markets across Eastern Europe, Middle East, and Africa (EEMEA).
Alignment with UAE's Digital Transformation Agenda
The initiative supports the UAE's ongoing digital transformation efforts, which aim to enhance the business environment and foster a more innovative and entrepreneurial ecosystem. This digitalization of business registration aligns with the broader strategy to diversify the economy through innovation and entrepreneurship.
Facilitating Entrepreneurial Environment
By providing digital access to business setup and making compliance easier, the collaboration contributes to creating an enabling environment for entrepreneurship. This environment is crucial for startups and small businesses, which are often the drivers of innovation and job creation.
National Economic Goals
The partnership supports the National Agenda for Entrepreneurship and SMEs, which seeks to establish the UAE as a leading entrepreneurial nation. By enhancing the SME sector, it helps achieve national goals of sustainable economic development and diversification.
Global Tax Assistant, a leading free zone community in Dubai, offering world-class infrastructure, state-of-the-art facilities, and business-friendly regulations, is excited to enter this collaboration. Jochen Knecht, CEO of IFZA, stated that the thriving SME economy forms the beating heart of the UAE's diverse business landscape.
Mastercard, in its commitment to empowering small businesses through technology, partnerships, and financial inclusion, will provide its business card holders with access to simplified and discounted business setup services. Furthermore, Global Tax Assistant will explore the potential usage of the underlying technology in banks' customer journey flows.
The collaboration marks one of the first digital AI-powered business registration pilots in the region, reflecting a unique public-private sector collaboration focused on SME enablement through advanced technology. As of 2024, Mastercard has connected 960 million people and 65 million micro-, small, and medium-sized enterprises to the digital economy.
The end-to-end onboarding process, from document submission to license issuance, is powered by AI, enabling faster and more efficient processing. IFZA, home to startups from over 160 countries, is at the forefront of this innovation, fostering a dynamic and innovative business ecosystem.
This initiative aims to foster innovation, entrepreneurship, and sustainable economic development by digitizing key aspects of business formation and compliance in the UAE. By accelerating the growth of the UAE's SMEs and paving the way for their expansion across the EEMEA markets, the collaboration is poised to make a significant impact on the region's economic landscape.
