Media Messages

The UAE is one of the best investment destinations in the world. As it provides an ideal business environment for investors and entrepreneurs, and provides excellent infrastructure facilities, backed by professional expertise and distinguished services, which gives grants the UAE a competitive edge over other countries.

Features of the UAE’s solid Economy Include:

• Strategic location
• Strong financial Reserves
• Large Sovereign Wealth Funds
• Healthy
• International Relations
• Consistent Government Spending on Infrastructure, Digital Transformation & Innovation
• Progressive Policy of Economic Diversification.
• Multi-specialty Free Zones
• Increased foreign direct investments (FDIs)
• Enlightened Economy.
• Competitive Economy.
• Economic Openness.
• A fair, developed and expeditious judicial system, with internationally recognized arbitration centres.

• The UAE enjoys a long-term political stability, with an open diplomatic policy worldwide.
• The UAE has more than 100 dynamic diplomatic missions abroad and about 200 foreign diplomatic missions in the country.
• The UAE is recognized by an established governance institutions, popular acceptance rates and security, despite all regional challenges.

The UAE is a safe place to live and invest in. Tolerance and respect to diverse cultures is an innate pillar of the UAE.

• The UAE encourages the consistent growth of the private sector and competition and enforces regulations that prohibit monopoly.
• The UAE has strong ties with key regional and international trade associations.
• The UAE has more than 40 Free Zones.

Attractive Investment Incentives Include:

• Up to 100% foreign ownership in Free Zones.
• 100% foreign Ownership in 122 economic activities across 13 sectors.
• An effective visa system allowing for a renewable 10-year residence visa.
• Competitive financing costs, high levels of liquidity and strong banking system.
• No foreign exchange controls.
• A stable currency linked to the US dollar and is completely free to convert into other currencies without restrictions.
• Low inflation.
• Low customs tariffs (between 0 and 5 per cent for almost all goods).

The UAE presents a favourable business environment. The UAE enjoys an excellent infrastructural facilities coupled with professional expertise, personalised services, digital economy, advanced technological infrastructure and smart government that give the UAE an edge over other countries.

The UAE allows for the extension and flexibility in doing anywhere in the country. Variety of locations include free zones, industrial areas and commercial buildings.

• More than 40 free zones allow 100% foreign ownership of business.
• The UAE provides state of the art industrial and commercial areas.
• It hosts high-profile conferences, international exhibitions and trade & investment events.

• The UAE’s talent and labour force is one of the most skilful in the world. Its multi-cultural population enhances workforce productivity and innovation in working forces.
• The UAE aims to be the main incubator for talent, skilled labour and human capital gifted in the vital and economic sectors because of its flexible and easy labour policies to attract foreign labour.

The UAE has developed a set of laws and regulations that meet business requirements, organize and conduct them in a flexible manner, within a framework of principles that are based on the rules of justice and respect for the rights of all customers. Laws:

• Federal laws that govern and regulate business activities in general, such as the Commercial Companies Law and the Foreign Direct Investment Law within the Emirates
• Laws regulating the Free Zone companies.
• Bankruptcy law in the Emirates.
• Laws and policies governing business via websites.

Regulations:

• Regulations that govern practical activity
• Regulations that protect investor rights, and the rights of employees and workers
• Consumer rights regimes and intellectual property rights
• Health, Environment and Safety Regulations
• Regulations for geographical regions, whether the areas belonging to the departments of economic development in the various emirates of the state, or the regulations for free zones or specialized economic zones.

The Foreign Direct Investment Law is considered a significant shift to move the investment climate in the country to a new level of momentum and competitiveness, which aims to support the UAE’s strategy to enhance its position as a global destination attracting qualitative investment.

• Applies to all FDI projects that are licensed in the UAE except for the Free Zones.
• The licensed FDI companies are treated like national companies.
• Make financial transfers for project returns outside the country.
• Include a partner or a number of partners.
• Transfer of ownership to a new investor.
• Amending the articles of association.
• Changing the legal form of the company.
• Merger, acquisition or liquidation.
• Existing company’s change into an FDI company.

• No expropriation ensuring the property is not expropriated except for public benefit in exchange for fair compensation.
• Not to seize or confiscate project funds unless by a court hearing.
• The right to use real estate.
• Ensuring the confidentiality of technical, economic and financial information and investment initiatives.

The first positive list included 122 major economic activities and a branch, 19 of which are in the agricultural sector, 51 in the industrial sector, and 52 in the services sector. All sectors have been classified and approved according to the economic activities manual approved by the Ministry of Economy.

The minimum capital required for the economic activities included in the positive list and its payment period came in accordance with the best regional and international practices in stimulating and encouraging investment in these activities, where the investor pays at least 20% of the capital when registering and depositing it in the company’s account with a bank in the country and pay the rest during the year following its registration.

• Limited Liability Company (LLC).
• Private Joint Stock Company(including the Sole Proprietorship Company.)

The competent authority issues its approval of the license application within a maximum period of 5 working days from the date of application submission or the fulfilment of all the required conditions, documents and procedures.

The approval of a project license application not included in the positive list is subject to the approval of the competent authority, the approval of the Foreign Direct Investment Committee and the approval of the Council of Ministers.