Latest news with #MohamedAlHusaini
Time of India
2 days ago
- Business
- Time of India
What is Emiratisation? UAE's push to move over half of insurance sector jobs in Emirati hands by 2030
In a country where expatriates make up nearly 90% of the population, the UAE's latest Emiratisation push marks a decisive turn. Emiratisation, the policy of integrating UAE nationals into the workforce, especially the private sector, has been a cornerstone of national planning since its launch in 2000. Tired of too many ads? go ad free now Now, with fresh quotas targeting up to 60% Emirati representation in insurance sector by 2030, the government is signalling a clear intent to reshape workforce dynamics with long-term sustainability in mind. Understanding Emiratisation: A National Vision for Inclusive Employment Emiratisation, also known as Tawteen, refers to the strategic initiative by the UAE government aimed at increasing the participation of UAE nationals in the workforce, especially in the private sector. This initiative reflects a long-term national vision embedded in broader frameworks like UAE Centennial 2071, designed to enhance the nation's sustainability, competitiveness, and knowledge-based economy. Despite being a wealthy and economically diversified country, the UAE has historically relied heavily on expatriate labor. With expatriates accounting for up to 90% of the population, native Emiratis have been significantly underrepresented in the private sector workforce. To bridge this gap, Emiratisation was launched in 2000, applying across the UAE (except Free Zones), and has seen more success in public institutions than in private enterprise. To address this imbalance, the Emirati Human Resources Competitiveness Council, known as Nafis, was established to spearhead Emiratisation in private sectors. Nafis offers incentives to companies, support to Emiratis, and monitors compliance. However, challenges persist, including instances of "fake Emiratisation," where companies employ Emiratis merely to meet quotas without assigning real responsibilities, a practice the government strictly penalizes. Tired of too many ads? go ad free now The New Target: 50%-60% Emiratisation in Insurance by 2030 In a significant policy development, the UAE has announced new Emiratisation goals for the insurance sector, aiming for 50% to 60% localisation by the year 2030, depending on the size of the company. This forms part of the government's Emiratisation strategy for 2027–2030, which sets differentiated targets for leadership roles and critical functions within insurance firms. The announcement was made by Mohamed Al Husaini, UAE Minister of State for Financial Affairs, during a Federal National Council (FNC) session on Wednesday, June 11, 2025. His statement came in response to a question raised by FNC member Adnan Al Hammadi regarding the Central Bank's role in enforcing Emiratisation compliance in the insurance sector. The Numbers So Far: Progress and Projections As of June 1, 2025, the UAE insurance sector employs 2,159 Emiratis out of 9,773 employees, equating to an Emiratisation rate of 22.09%. This marks a steady improvement from 13.34% in 2022 and 21.64% in 2024. 'The 2022–2026 strategy aims to increase localisation to 30 percent by 2026, growing about 3 percent annually,' said Mohamed Al Husaini, Minister of State for Financial Affairs, in a statement. The upcoming goals set further conditions: At least one Emirati must be hired annually in job categories with 2 to 19 employees. A 30% localisation rate is required for roles with 20 or more employees. 45% of critical roles must be held by Emiratis. 30% of direct leadership positions, such as CEOs or general managers, must be filled by UAE nationals. Enforcement, Training, and Education: Supporting the Drive To ensure these goals are met and to curb fraudulent practices, the Central Bank has set up a dedicated Supervision and Inspection Unit. This unit has the authority to impose fines of AED 60,000 on companies found to be missing Emirati hires, calculated as AED 20,000 per violation point. Beyond enforcement, a significant emphasis has been placed on human capital development: 6,138 Emiratis have already participated in advanced professional training programmes in collaboration with prestigious international institutions. Training fields include: Accounting Finance Auditing Anti-money laundering Artificial Intelligence Data Science In 2023, a memorandum of understanding was signed between the Ministry of Presidential Affairs and the Emirates Institute of Finance to offer 100 annual scholarships in actuarial science. As of now, nine Emiratis have been selected to study in the United States and Australia under this initiative. The minister also announced future plans to further bolster educational opportunities in this field: Collaborations are underway with institutions such as: Higher Colleges of Technology Zayed University American University in Dubai A bachelor's degree programme in actuarial science will launch in September 2025. Insurance companies will sponsor tuition for 25 to 30 students annually.
Khaleej Times
2 days ago
- Business
- Khaleej Times
UAE sets new Emiratisation goal: 50%-60% quota for insurance sector by 2030
A new Emiratisation strategy for the years 2027–2030 targets Emiratisation rates of 50 per cent to 60 per cent at insurance companies, depending on company size. It also mandates the employment of at least one Emirati annually in occupations with two to 19 employees, as well as a 30 per cent localisation rate in occupations with 20 or more employees, 45 per cent in critical roles, and 30 per cent in direct leadership positions such as CEOs or general managers. The announcement by UAE Minister of State for Financial Affairs Mohamed Al Husaini was made during the Federal National Council (FNC) session on Wednesday, in response to a question raised by FNC member Adnan Al Hammadi on the role of the Central Bank in enforcing Emiratisation compliance in the insurance sector. The minister confirmed a noticeable improvement in Emiratisation within the insurance sector. As of June 1, 2025, Emiratis comprised 2,159 out of a total of 9,773 employees, representing 22.09 per cent. This marks an increase from 13.34 per cent in 2022 and 21.64 per cent in 2024. "The 2022–2026 strategy aims to raise the localisation rate to 30 per cent by 2026, with an annual increase of around 3 per cent,' said the minister in a statement. To ensure compliance and prevent fraudulent Emiratisation practices, the Central Bank established a dedicated Supervision and Inspection Unit. The unit is authorised to impose fines of Dh60,000 against companies found missing Emirati employees, calculated at Dh20,000 per point. The statement also highlighted the Central Bank's investments in human capital development. A total of 6,138 Emiratis have participated in advanced professional training programmes in collaboration with prestigious international educational institutions. These programmes covered areas such as accounting, finance, auditing, anti-money laundering, artificial intelligence, and data science. In 2023, a memorandum of understanding was signed between the Ministry of Presidential Affairs and the Emirates Institute of Finance to offer 100 annual scholarships in actuarial science. So far, nine Emiratis have been selected to pursue their studies in the United States and Australia under this initiative. Further collaborations are underway with national and international universities, he added, including the Higher Colleges of Technology, Zayed University, and the American University in Dubai, to launch a bachelor's degree programme in actuarial science. Scheduled to begin in September 2025, the programme will be supported by insurance companies to cover tuition fees for 25 to 30 students each year.
