Thu 18-06-2020 16:35 PM
ABU DHABI, 18th June, 2020 (WAM) -- The Abu Dhabi Investment Office, ADIO, announced that it has finalised enhancements to the Musataha agreement that will give private sector investors greater opportunities to deliver long-term projects in the emirate.
According to a press release issued by ADIO, the Musataha rights enables the private sector to develop land owned by government agencies and benefit from the projects that are developed.
ADIO has finalised the new form of Musataha agreement to maximise the benefits for both the private and public sectors, including implementing a highly competitive pricing model with flexible and attractive terms for companies looking to grow in Abu Dhabi.
Musataha agreements can be applied to land use in any economic sector. In line with its focus on expanding Abu Dhabi’s advanced agriculture sector, ADIO is currently working with the Abu Dhabi Agriculture and Food Safety Authority, ADAFSA, on an AED1 billion pipeline of investments in the food production and processing space. Each project will utilise sophisticated farming methods and can quickly move to commercial production, significantly expanding the supply of local produce.
Mohammed Ali Al Shorafa, Chairman of the Abu Dhabi Department of Economic Development, said, "Unlocking the full potential of Abu Dhabi’s public land is an important step towards unleashing the full power of our economy. Long-term investment decisions that stretch decades into the future require certainty and clarity from the outset. ADIO is working with partners across the government to maximise the benefits of Musataha agreements and ensure they continue to play an important role in facilitating strategic investments into the economy."
The newly structured Musataha agreement will enable stronger partnerships between the public and private sectors, and aim to encourage investors to commit with confidence to long-term business opportunities and expand existing operations in Abu Dhabi.
Dr. Tariq Bin Hendi, Director General of ADIO, said, "ADIO is here to ensure that Musataha agreements deliver value for investors while providing reasonable benefits to land owners. We have taken steps to add flexibility and efficiency to the form of Musataha agreement to be entered into between a private sector participant and government, to increase investor confidence. By unlocking the potential of our land, Abu Dhabi is providing investors and companies with increased opportunities to bring bold projects to life. We already have a strong pipeline of projects in place and are keen to grow this further."
ADIO is currently working with its partners across government to review an extensive pipeline of projects that will support long-term investment into Abu Dhabi. Sectors include food production and processing, leisure and tourism, community services, industry and technology and energy.