More than 70 international and regional companies, including ABN Amro Bank and AXA Insurance, have registered to operate in Dubai's new outsourcing free zone that opens in December, a top official said.
Esmail Al Naqi, a director at Dubai Outsource Zone, told Gulf News some 55 firms are likely to begin operating before the end of the year in the park located close to the Academic City in South Dubai. Another 20 will join up by June 2007.
The companies will offer business process outsourcing (BPO) services mainly in banking and financial services, information technology, insurance and the healthcare industries.
Nearly 40 per cent of these are from Europe, 20 per cent from the US and the remaining from the Middle East.
"We have been surprised by the response," Al Naqi said. "The outsourcing business is booming worldwide and we want to position Dubai as the leading outsourcing destination in the region." Naqi estimates there would be some 7,000-8,000 people working in the zone by the end of 2007 and another 5,000 will join each year thereafter.

Infrastructure
Zone companies, which include Arab Bank and Mashreqbank, will offer services like credit card and insurance claims processing, medical transcription, diagnostics and even online legal and medical consulting.
The project, unveiled in June 2004 as part of a plan to boost knowledge industries in Dubai, hopes to grab a share of the $350 billion a year global BPO industry with facilities like a zero-tax environment.
Al Naqi estimates European companies could save up to 40 per cent in costs and American companies, 20 per cent, by moving business processes to Dubai.
The Zone hopes to exploit the weaknesses of regional BPO powerhouses like India, South Africa and the Philippines by reducing employee attrition, providing high quality infrastructure, an expatriate-friendly environment and less-interfaring bureaucracy.
"We want to complement India, which is moving up the value chain and some of the Indian companies could use this as a disaster recovery zone. We also have our advantages as we offer a better lifestyle for the expatriates," Al Naqi said.
Employees will not be allowed to move jobs within a year of joining a company. Some 60 per cent of the workers in the zone are expected to come from India, 20 per cent from East Europe and the remaining from the Philippines and the Middle East.