CURRENT SCENARIO
The market for Education is very mature in the region and continues to attract more investors, service providers, and students to the country. The new and expanding school and university campuses, availability of the latest courses, new rules and regulations regarding Education, and the increasing focus of the UAE government are a great help in gradually transforming the Education sector. The country's various educational institutions are constantly changing to better meet the needs of the current business environment and a highly competitive job market.
The UAE government considers education to be a top priority. Quality education for all Arab students is critical for the people's growth. They also believe that in the United Arab Emirates, e-learning is the quickest way to close the gap. With this in mind, His Highness Sheikh Mohammed Bin Rashid Al Maktoum, Prime Minister and Vice President of the United Arab Emirates, and the ruler of Dubai collaborated to launch an educational platform that will serve approximately 50 million students worldwide.
A Strategic Plan for 2021 had also been announced by the Ministry of Education. These were a set of plans that would gradually incorporate advanced education methods, place a greater emphasis on a student's learning abilities, and enhance a person's innovative and creative abilities. The government took steps to improve the quality of education offered to students starting at the junior level by the plan. The plan aims to improve active reading, math, and science skills while also assisting in the acquisition of Arabic language knowledge.
The government has also aided many companies in establishing educational businesses in the UAE, resulting in the private sector dominating the kindergarten to standard 12 education scene. An open economy, a favorable business climate, and a large expatriate population have all contributed to the establishment of several private and community colleges in the country.
The Benefits of Starting an Education-Related Business
There are numerous advantages to establishing an education company in the United Arab Emirates.
A Profitable Business Environment
Increased opportunities in the GCC region have resulted in an influx of people into the country. As a result, there is an increased demand for good and practical education. The government is also concentrating on improving education for the country's citizens. This means that the UAE's current business climate is ideal for establishing an educational institution.
Processes for establishing a business and the operating environment have been simplified.
When it comes to education, the emirates of Dubai and Abu Dhabi each have their regulatory bodies. These regulatory bodies exist to streamline the various investment and operations processes in the education industry. These organizations are concerned with both public and private educational institutions.
The Ministry of Education has enacted a new law governing the Teaching Licensing System, intending to raise and maintain the country's educational standards.
Expatriate Families are Increasing in Number
The United Arab Emirates has one of the largest immigrant populations in the world. Expats come from over 200 different countries and account for nearly 80% of the UAE's population.
The Country's Strategic Positioning
The nation of the United Arab Emirates is strategically located. The UAE shares physical borders with two countries, and one side of the country has a long coastline that connects it to the continents of Europe and Asia. The market to which the UAE's education sector caters has grown as GCC nationals entering the country are no longer required to obtain a visa.
Intervention by the government
The government has realized that it cannot rely solely on revenue from the oil and gas industry and has begun to diversify its revenue sources. The launch of the education 2020 plan in the United Arab Emirates is the most important step taken by the government. In addition to traditional education, the government is focusing on the country's E-Learning market.
Because it is easily available to everyone, the E-Learning market is a rapidly growing market segment in the country. All that is needed is a device and a stable internet connection (Personal Computer, Laptop, Tablet, or even a Mobile).
Renowned Educational Establishments in UAE
His Highness Sheikh Zayed Bin Sultan Al Nahyan, the founding father of the United Arab Emirates, once said that the best use of wealth is to spend it in raising generations of trained and educated people. The country's government is taking steps to ensure that citizens receive the best education possible and can compete in a global market.
There are numerous educational institutions in the UAE to ensure this. The following are some of the top-ranked universities in the United Arab Emirates:
UAE University
This campus is the oldest in the United Arab Emirates and is headquartered in the city of Al Ain, Abu Dhabi. It is ranked 390 in the world and 5th in the Arab region. Though it is the UAE's oldest educational institution, it was founded in 1976 and is still relatively new.
American University of Sharjah
Both the United Arab Emirates and the United States of America have granted licenses to this university. This institution provides courses that are popular in the global market and are based on the US higher education model. It is located in Sharjah and was first included in the QS Best Student Cities rankings in 2016.
Khalifa University
Khalifa Institution is a science-focused non-profit university. This university was established in 2007 in Abu Dhabi as part of the government's effort to improve the country's educational standards. The university currently has 1,500 students and plans to build a new campus with a capacity of 6,000. It is based on the American higher education system.
American University in Dubai (AUD)
This is a private university that was founded in 1995 and now has around 2,500 students representing over 108 different nationalities. The Centre for English Proficiency, which is accredited by both the UAE and the US, offers a variety of English language programs (CFEP)
University of Sharjah
The Emir of Sharjah, Sultan Bin Muhammad Al Qasimi, founded this university. The University of Sharjah aspires to be one of the most prestigious academic institutions in the Gulf Cooperation Council (GCC) and beyond. The University of Sharjah has had a major impact on the Emirate of Sharjah's growth.
Zayed University
This university was established in 1998 and is one of the top young universities in the QS Top 50 Universities list for 2019. The campus currently has 6,500 students enrolled, including 169 foreign students.
EDUCATION AFFORDABILITY
The cost of education in the UAE has recently been questioned. This is because enrolling in educational institutions used to be prohibitively expensive, but the government has taken steps to alleviate this burden in recent years.
In the United Arab Emirates, education is split into three sections.
Primary
Primary education is compulsory from the age of five, according to the Ministry of Education. Kindergarten to fifth grade is considered primary education. Many schools provide both primary and secondary education in one location, eliminating the need for students to change schools once they have completed their primary education.
Secondary
Secondary Education is from the 6th grade to 9th grade. Secondary education is necessary for a student because it will assist him in carving out a path for himself.
Tertiary
Many tertiary educational institutions in the UAE are accredited by international universities. Some of the most well-known universities in the UAE have already been listed.
Because there had been concerns about the affordability of education in the United Arab Emirates, the government took special measures and is doing all it can to make education accessible to all. Previously, the modal was to open a high-end school with high fees, but this business model is rapidly dwindling. It is now more popular to open a low-cost school in the UAE.
The school administration realized that the extremely high cost of education was putting a strain on the parents. As a result, it was preferable to provide excellent facilities rather than top-notch facilities and charge a reasonable price. The Ministry of Education shares the UAE Government's belief that education is critical to the country's development, and that the private education system is an essential component of the government's plans and aspirations.
The government has announced the opening of or plans to open a variety of schools and other educational institutions that will be accessible to all UAE citizens.
System of Licensing for Teachers
The Government of the United Arab Emirates started this licensing system with the country's future vision in mind. The government is attempting to provide the best possible education. This license will soon become a requirement for all teachers in the country, and it will give all teachers recognition.
Because it will aid in equipping UAE teachers with the know-how and expertise to compete with all teachers around the world.
All prospective teachers must pass two separate examinations to obtain their teaching licenses. The first exam will focus on general education techniques and practice. The specialization will be the focus of the second test. If any of the test takers fail one or both of the tests, the system will provide them with personalized training courses to help them improve their grades in the future. The customizations will be based on the test taker's current situation and requirements.
The Effect of Value Added Tax on Education
In the United Arab Emirates, the Value Added Tax was levied on January 1st. The implementation of this tax is expected to be a game-changer, as it will provide the UAE government with a new source of revenue. In the United Arab Emirates, all leading educational supplies and associated products will be tax-free. The following are the primary educational institutions that are included in this:
Nurseries, Schools, and Preschools
Institutions of higher learning that are financed or owned by the federal or local government
It's important to remember that not all companies qualify for zero percent VAT. Many municipal or regional governments recognize educational institutions, and these institutions may receive 50% or more funding directly from the provincial or federal government.
Also, only zero-rated educational services are those that are accepted by the state or federal government. If a course does not follow the government's curriculum, the standard rate of VAT will be applied (5 percent ).
WHERE TO SET-UP
An education business can be a great choice for an entrepreneur because there are so many new opportunities in the world. A potential entrepreneur should start an education business on the Mainland or in the Free Zone.
The provision of education in the United Arab Emirates is regulated by two regulatory bodies in the country. These are the authorities:
Abu Dhabi Department of Education and Knowledge (ADEK)
In the year 2005, the ADEK was founded. Formerly known as the Abu Dhabi Education Council, ADEK was in charge of overseeing all of Abu Dhabi's schools. This body also served as a regulatory body for all aspects of the emirates' public school management and administration. Since 2009, the ADEK has been introducing its New School Model, which aims to improve the quality of education.
Knowledge and Human Development Authority (KHDA)
The KHDA was established in 2006 by a decree issued by His Highness Sheikh Mohammed bin Rashid Al Maktoum. The aim of developing and establishing such authority was to improve the UAE's human resource and education sectors. It is in charge of ensuring the quality of private education while also providing new and innovative growth opportunities.
Dedicated Free-Zone in UAE
There are several Free-Zones devoted to education and related industries. The following are some of the Free-Zones dedicated to the education industry:
Dubai Knowledge village
Dubai Academic City
Dubai Biotechnology and Research Park
Dubai International Academic City
Sharjah Publishing City Free Zone
Al-Ain Education Zone
Western Educational Zone
Also, the United Arab Emirates has several Free Zones and dedicated Educational Zones that serve as a platform for the education industry.
Procedure to Start an Education Business
If you want to start an education company in the United Arab Emirates, you'll need to go through a series of steps to get approval from the relevant business organization. These are the following:
Choose the location and type of education you want to provide
From kindergarten to private tutoring, there are several different types of assistance available. The application you'll need to fill out will differ depending on the type of activity you're planning and the location where you'd like to open your business.
Fill out the registration form
The majority of your time will be spent on this step. To register a company, a businessman must provide all of the relevant information as well as all supporting documentation. All details of the activities that will be carried out to ensure the business's growth should be provided.
Complete an application
Obtain an Educational Service Permit by completing a simple form. Although this form is relatively straightforward, some complications may arise. As a result, using the services of a Business Consulting Firm is often recommended.
Obtain the required paperwork
The task of filling out the application is not the only one that must be completed. The information contained in the application must be supported by the appropriate documents. The name reservation from the competent authority, the director/CV, manager's, and various other documents are examples of these documents.
Submit your Application
Finally, you must submit this application to the appropriate government agency. When requested, the required fees must also be submitted.
Teacher Licensing Requirements
The United Arab Emirates' government recently implemented a Teaching Licensing System, also known as TLS. To start a teaching business in the UAE, you would need a teaching license. Specific requirements must be met for a person to obtain a teaching license. These are the following:
An applicant must have a bachelor's degree or a degree that is more significant than a bachelor's degree.
The applicant must not have ever been convicted of a crime.
He must submit a fitness report that has been checked by the appropriate authority.
Original educational certificates should be in his possession.
If the applicant graduated from a university outside of the UAE, he must present educational documents attested by the UAE Ministry of Foreign Affairs and International Cooperation as well as the country's embassy in the UAE.
If a person wishes to obtain a teaching license in the United Arab Emirates, they must meet these five basic requirements.
Future Opportunities
In the beginning, the UAE had only a few rural schools and a bare minimum of infrastructure. There was little progress in the field of education, and the budget and infrastructure were pitiful in comparison to what we have today. The UAE government has long acknowledged the importance of education in a student's life as well as a country's growth. Education in the UAE has changed dramatically as a result of proper attention and a sufficient budget.
Traditional classrooms have evolved, school infrastructure has improved, and the educational system now prioritizes creativity and innovation over traditional reading, writing, and theory-based learning. Today's students have more real-world experience, which aids in understanding the current business environment and making informed decisions.
Classrooms will be more interactive, and educational institutions will be in charge of preparing students for employment. The schools believe that each student possesses a distinct quality that it is their responsibility to emphasize. The following items will be found in future classrooms:
Dedicated Learning Places
Access to Real scenarios
Less emphasis on theory and more on creativity and innovation
A higher student-to-teacher ratio
Incorporation of cutting-edge learning technologies such as augmented reality and virtual reality
These are just a few of the changes that will be made in UAE schools in the future. The UAE's education sector is improving, with the government placing a greater focus not only on government-owned universities but also on private educational institutions. This is a fantastic opportunity for those who want to work in the UAE's education sector. Using the services of a Business Setup Firm to create a base in the UAE would be extremely beneficial to the aspiring entrepreneur.
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