Abu Dhabi SME Champions Awards AED88.6M in Deals in First Six Months of 2023

Photo : Abu Dhabi Media Office

The Abu Dhabi SME Champions Programme, launched in 2023 by the Abu Dhabi Department of Economic Development (ADDED), has exceeded expectations within just six months, awarding AED88.6 million in procurement deals. The programme, designed to enhance the participation of small and medium enterprises (SMEs) in procurement opportunities with large companies (LCs) and government-related entities (GREs), has shown remarkable results since its inception.

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In the pilot phase, the initiative awarded 54 tenders and contracts to 49 SMEs, with the average procurement value reaching AED1.8 million. Some companies received multiple tenders from various LCs and GREs, signaling the programme’s success in engaging businesses across sectors. 

Initially launched with just four champions, the programme has since expanded significantly. It has become a key driver for enabling SMEs to tap into both private and p sector procurement opportunities, helping these enterprises scale their operations. By fostering such growth, the programme aims to stimulate economic diversification, innovation, and long-term development within the UAE's economy.

Small businesses were the primary beneficiaries, securing 63.5% of the total procurement deals, valued at AED56 million. Medium-sized enterprises received 36.2%, totaling AED32.1 million. The programme also awarded additional contracts beyond these figures, further highlighting the range of opportunities provided to the SME community.

A breakdown of the sectors involved in the awarded contracts shows the wide reach of the programme. SMEs in the telecommunications sector secured 11% of the contracts, while those in the electrical sector received 6%. Consultancy and security SMEs each accounted for 4%, with the remaining 75% of tenders spread across diverse industries including construction, apparel, and catering. These figures emphasize the breadth of industries benefitting from the programme's procurement opportunities.

Since its launch, the programme has drawn significant interest, with 835 applications received from SMEs across various sectors. Out of these, 190 suppliers were identified in the first six months, further strengthening the SME ecosystem in Abu Dhabi.

Mouza Al Nasri, Executive Director of the SMEs Sector at ADDED, expressed pride in the programme’s early success. “We are thrilled to see the Abu Dhabi SME Champions Programme surpass its initial targets. The strong response from the SME sector demonstrates its potential and the benefits that can be achieved with the right support in place. We thank our partners and stakeholders for their vital contributions to making this ambitious programme a success,” she said.

Al Nasri also emphasized the importance of SMEs in Abu Dhabi’s ongoing transition to a knowledge-based, smart, and diversified economy. “As we rapidly move toward a sustainable and inclusive future, SMEs will play a critical role in ensuring that we build a strong, resilient economy for generations to come. To support this growth, we have launched several initiatives, including the 'SME Finance Facilitator' to improve access to financial services and products, helping SMEs with working capital and long-term growth,” she added.

Several major companies have joined the programme, actively awarding tenders to SMEs. These include prominent names like e&, Aldar, Etihad Aviation Group, Industrial Capital Group, and Emirates Steel Arkan. Additionally, key LCs and GREs such as the Department of Government Enablement – Abu Dhabi, the Department of Tourism and Culture – Abu Dhabi, the Department of Finance – Abu Dhabi, Masdar City, the Abu Dhabi Investment Office, and others have become champions of the programme, contributing to its expansion. The programme’s goal for 2024 is to provide AED230 million in procurement opportunities for SMEs.

The Abu Dhabi SME Champions Programme is not only focused on awarding contracts but also on equipping SMEs with the skills and support needed to compete effectively. Through upskilling sessions and other forms of assistance, the programme empowers SMEs to bid for procurement opportunities from large companies, GREs, and government bodies.

As part of ADDED’s broader strategy for SME development, the programme is a cornerstone in building a dynamic SME sector that contributes to the continued growth and diversification of Abu Dhabi’s economy.