Dubai Municipality Investment Strategy

Dubai Municipality (DM) is a key government organization in the Emirate of Dubai and at the UAE level. DM considered the first entity in the region to develop a unique, comprehensive and long -term investment strategy in municipal services to achieve financial and assets sustainability through effective management of financial resources and by implementing an integrated partnership ecosystem. Major Key achievements: (1) Attracting (15- 20%) of Dubai FDI target and (8-10%) of Dubai private sector investments through private sector participation. (2) Developing comprehensive investment programs to achieve sustainable funding mix, maximize revenue generation from DM assets and promote commercial revenues generation, targeting increasing both the commercial revenue contribution to total revenue from 4.5% to 14% and the private sector funding towards the DM infrastructure projects from 32% to 60%. Accordingly, the DM decided to develop its long term investment strategy (up to 2040) to achieve DM strategic goals and objectives and contribute to Dubai economic agenda D33. The main strategy pillars are: (1) Diversification of investment opportunities and asset monetization. (2) Funding, alternative financing and private sector participation. The ambition of the investment strategy is to maximize utilization of private capital to reduce funding burden for DM and maximize return from assets. This can be achieved through meeting the following objectives: (1) Achieve a balanced and sustainable funding mix. (2) Maximize revenue generation from DM assets. (3) Promote commercial revenues generation. The above objectives are inline with Dubai Government direction towards fostering private sector participation and increasing people happiness. It is also aligned with the government decision on freezing, cancelling and reducing many government fees through encouraging the government entities to generate revenue from other resources such as assets monetization and diversification & maximization of commercial revenues. The investment strategy focuses on four main programs: Capital projects Funding, 2. Existing Opex Reduction, Asset monetization & Commercial Revenue Generation and Corporatization & Commercial Transformation.