19 October 2009
About 6,000 new companies were set up in Ajman during the second quarter of this year - 10 per cent fewer than in the same period of 2008.
In Q2 this year 5,980 new companies registered with Ajman Chamber of Commerce and Industry compared with 6,656 during the same period last year.
However, the number of companies that joined the chamber in Q2 2009 was 17.5 per cent up on the 5,086 that became members in Q1 2009.
The commercial, professional and industrial sectors started to pick up in the fourth quarter of 2008 and the recovery continued during the first half of this year. A substantial 23 per cent decline was observed in the third quarter of 2008. A total of 6,656 companies registered in Q2 2008 and the total fell to 5,120 in Q3 2008.
The decrease was a reflection of the economic crisis that affected many sectors, Moahmmed Al Hamrani, Director General of the chamber, told Emirates Business.
But he said the increase in Q2, compared with Q1 this year, indicated that the signs of recovery first seen in Q3 2008 continued to be clearly visible. And it proved that the psychological impact of the downturn on investors was lifting.
"Due to intensive action by the Government of the UAE in general, and Ajman in particular, investors again feel encouraged to invest," added Al Hamrani.
In Q2 this year, the 3,836 new commercial companies formed 64 per cent of the total. Professional companies came next with 1,950, or 32.6 per cent, and industrial companies followed with 194, or 3.4 per cent.
The commercial sector, which represented 62.5 per cent of the total numbers of companies registered with the chamber - 33,826 from the beginning 2008 until the end of Q2 2009 - declined in Q3 of 2008 but grew gradually during both Q1 and Q2 this year.
"This large figure is due to the large volume of commercial activity in the emirate compared with the industrial and professional sectors," said Al Hamrani.
A total of 3,733 companies registered with the chamber in Q1 2008. The number rose to 4,387 in Q2 and fell sharply to 2,726 in Q3, then started increasing again, reaching 3,236 in Q4 2008, 3,233 in Q1 2009 and 3,836 in Q2.
Similarly, the industrial sector witnessed a substantial 47.9 per cent reduction in Q3 2008. In Q1 and Q2 2008, the figures were 2,000 and 2,054 respectively, and the total fell sharply to 112 in Q3 2008. The industrial sector then started to recover as 148 companies registered in Q4 2008, 177 in Q1 and 194 in Q2 2009. The rate of increase between Q1 and Q2 2009 was 9.6 per cent.
The level of professional activity fell in both the third and fourth quarters last year and the first quarter of 2009. In Q1 and Q2 2008 the figures for new professional companies were 2,000 and 2,054 respectively. The figures decreased substantially to 1,542, 1,659 and 1676 in Q3 and Q4 2008 and Q1 2009 respectively. This sector showed signs of recovery in Q2 2009 as 1,950 new companies registered with the chamber.
The total number of companies that registered during the first half this year reached 11,066.
Al Hamrani said he expected that the impact of the crisis would continue to decline and the third quarter figures would reflect continuing growth compared with the second quarter.
About 6,000 new companies were set up in Ajman during the second quarter of this year - 10 per cent fewer than in the same period of 2008.
In Q2 this year 5,980 new companies registered with Ajman Chamber of Commerce and Industry compared with 6,656 during the same period last year.
However, the number of companies that joined the chamber in Q2 2009 was 17.5 per cent up on the 5,086 that became members in Q1 2009.
The commercial, professional and industrial sectors started to pick up in the fourth quarter of 2008 and the recovery continued during the first half of this year. A substantial 23 per cent decline was observed in the third quarter of 2008. A total of 6,656 companies registered in Q2 2008 and the total fell to 5,120 in Q3 2008.
The decrease was a reflection of the economic crisis that affected many sectors, Moahmmed Al Hamrani, Director General of the chamber, told Emirates Business.
But he said the increase in Q2, compared with Q1 this year, indicated that the signs of recovery first seen in Q3 2008 continued to be clearly visible. And it proved that the psychological impact of the downturn on investors was lifting.
"Due to intensive action by the Government of the UAE in general, and Ajman in particular, investors again feel encouraged to invest," added Al Hamrani.
In Q2 this year, the 3,836 new commercial companies formed 64 per cent of the total. Professional companies came next with 1,950, or 32.6 per cent, and industrial companies followed with 194, or 3.4 per cent.
The commercial sector, which represented 62.5 per cent of the total numbers of companies registered with the chamber - 33,826 from the beginning 2008 until the end of Q2 2009 - declined in Q3 of 2008 but grew gradually during both Q1 and Q2 this year.
"This large figure is due to the large volume of commercial activity in the emirate compared with the industrial and professional sectors," said Al Hamrani.
A total of 3,733 companies registered with the chamber in Q1 2008. The number rose to 4,387 in Q2 and fell sharply to 2,726 in Q3, then started increasing again, reaching 3,236 in Q4 2008, 3,233 in Q1 2009 and 3,836 in Q2.
Similarly, the industrial sector witnessed a substantial 47.9 per cent reduction in Q3 2008. In Q1 and Q2 2008, the figures were 2,000 and 2,054 respectively, and the total fell sharply to 112 in Q3 2008. The industrial sector then started to recover as 148 companies registered in Q4 2008, 177 in Q1 and 194 in Q2 2009. The rate of increase between Q1 and Q2 2009 was 9.6 per cent.
The level of professional activity fell in both the third and fourth quarters last year and the first quarter of 2009. In Q1 and Q2 2008 the figures for new professional companies were 2,000 and 2,054 respectively. The figures decreased substantially to 1,542, 1,659 and 1676 in Q3 and Q4 2008 and Q1 2009 respectively. This sector showed signs of recovery in Q2 2009 as 1,950 new companies registered with the chamber.
The total number of companies that registered during the first half this year reached 11,066.
Al Hamrani said he expected that the impact of the crisis would continue to decline and the third quarter figures would reflect continuing growth compared with the second quarter.
By Eman Al Baik
© Emirates Business 24/7 2009
