Dozens of foreign investors in Dubai have taken advantage of the amended Commercial Companies Law, allowing them to establish and fully own onshore companies in the first couple of days since it came into effect. The commercial activities in which full ownership was sought include general trade, contracting, jewellery, gold, pearls, luxury watches, foods, as well as cars and trucks trading.
In the industrial category, full ownership was sought in the metals and construction, flooring, building materials, foods, water production and paints sectors. A kindergarten, an elementary and middle school, and a hotel also sought 100 percent ownership.
Full foreign ownership is available for more than 1,000 commercial and industrial activities excluding economic activities with a strategic impact.
The amendments aim to boost the UAE’s appeal as an attractive destination for both foreign investors, entrepreneurs and talent and are designed to further strengthen the country’s standing as an international economic centre and encourage an investment flow to vital economic sectors.
In a tweet on Thursday, the official Dubai Media Office said that a total of 59 investors had taken steps to take 100 percent ownership following the June 1 launch.
Investors seeking full ownership can complete the procedures as required through the Invest in Dubai digital platform, it said in another tweet.
Back in November, the UAE confirmed the changes to its commercial company ownership laws in a tweet and was seen by industry experts back then as the latest move to make the country more expat-friendly. The previous rule that onshore companies had to have a major UAE shareholder had been described by one investor as the “number one issue” for foreign companies.
The amendments are the latest in a series of measures aimed at liberalising business activity in the UAE, where foreigners comprise more than 80 percent of the population.
In October, Dubai launched a virtual visa scheme, which allows remote working professionals from all over the world to relocate to the emirate with their families with access to all services, including schooling, telecom and services.
Last September, the emirate launched a retirement programme for resident expatriates and foreigners over the age of 55 which was the first of its kind in the region and is being spearheaded by Dubai Tourism in collaboration with the General Directorate of Residency and Foreigners Affairs.
Dubai has also recently launched the Virtual Company Licence, which allows global businesses to access a regulated e-commerce platform populated by Dubai-based companies, while also exploring new markets and investment opportunities digitally. The initiative, which allows investors worldwide to do business in Dubai digitally without having to live in the emirate, is expected to attract more than 100,000 companies.
source:arabianbusiness.com
