AED 2bn Sheikh Mohammed Fund to support innovators
AED 2bn fund launched to finance entrepreneurs in various sectors
HH Sheikh Mohammed bin Rashid Al Maktoum, Vice President and Prime Minister of UAE and Ruler of Dubai, has launched a new fund that will finance innovators across various sectors, to support the UAE's national innovation strategy and the UAE Vision 2021.
The ‘Sheikh Mohammed bin Rashid Al Maktoum Fund to Finance Innovation', worth AED 2 billion, will offer funding to entrepreneurs and support innovation. The fund is a federal government initiative represented by the Ministry of Finance (MoF), and will also include collaboration with various financial institutions and funding entities within the UAE, including commercial banks, investment funds, family businesses and other funding entities.
The announcement was made at a conference hosted by the Ministry of Finance as part of the UAE Innovation Week.
HE Obaid Humaid Al Tayer, Minister of State for Financial Affairs, said: "This pioneering innovation initiative goes hand-in-hand with the vision of our wise leadership to enhance the innovation approach in order to achieve sustainable development, and its goals to establish the UAE as one of the most innovative countries in the world by 2021. The UAE, represented by the Ministry of Finance, has established the ‘Sheikh Mohammed bin Rashid Al Maktoum Fund to Finance Innovation' to provide a suitable environment for innovation and support innovative entrepreneurs, by offering them the necessary funding to establish, manage and develop their innovative projects."
Al Tayer added: "The Ministry of Finance is entrusted with the role of managing and supervising the Fund through a comprehensive programme which provides financing solutions to innovators within the UAE, and supports growth and innovation, specifically across the seven sectors outlined in the national innovation strategy. This Fund is considered one of the most important financing tools in the region. It is expected to play a significant role in driving growth and economic development within the UAE, and in strengthening the country's position on both a regional and global level."
HE Al Tayer concluded: "We are confident that the Fund will achieve its goal to facilitate access to financing solutions for innovators, at a reasonable cost. We look forward to supporting the Fund by providing both financial and non-financial services to enhance processes, and improve performance in line with the Ministry and federal government's objective to encourage and support innovation in the UAE."
Capital will be allocated to the Fund to create new ways and means of financing innovative projects through commercial banks and financial institutions, in accordance with specific criteria and standards.