The fund will go specifically to independent record labels who have a direct deal with the service.
Sales were down 29% the week ending March 19 - the lowest in US history.
The African streaming giant has seen a recent increase in streaming and subscription activity.
The deal allows Apple Music to stream content owned and under license by all three major labels.
Morgan Stanley predicts the company will have over 53m paid UAE subscribers by 2023. UAE Subscribership currently stands at 11m.
The app has over 36m subscribers and promotes mostly African artists.