Budding entrepreneurs in Dubai could take advantage of cut-price letters of credit (L/Cs) under a new initiative that aims give a boost to young businesses in the emirate.

Dubai Islamic Bank (DIB) has announced that 10 per cent of its total annual purchase requirements will be earmarked for businesses registered under the newly created Mohammed bin Rashid Establishment for Young Business Leaders (MREYBL).

Business Support

In addition to providing financial support, eligible young businesses will be entitled to free project consultancy and subsidised rates on various bank fees and levies, including those applied to L/Cs, deposits, and foreign exchange services from DIB.

Each business will also be assigned a dedicated relationship manager to manage its various banking and finance needs on a day-to-day basis.

Emiratisation

According to DIB's general manager, Butti Khalifa bin Darwish, the initiative supports the need for "greater participation in the private sector." Dubai has established itself as a regional and the United Arab Emirate's (UAE's) commercial hub. But with many skilled jobs in the UAE filled by expatriates, the state is very concerned about career opportunities for an increasingly well-educated generation of young Emeratis.

The DIB is also cooperating with MREYBL in setting up an Islamic fund to finance eligible projects.

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