Wednesday July 3, 2019
100% foreign Ownership approved in UAE
One of the biggest and unexpected decisions have been taken by the UAE Government. The United Arab Emirates will allow up to 100% foreign ownership in 13 sectors, including manufacturing, agriculture, and renewable energy, state news agency WAM reported on Tuesday. 100% foreign Ownership approved in UAE will bring more investor in all sectors without required a local partner.
The Cabinet meeting was attended by H.H. Lt. General Sheikh Saif bin Zayed Al Nahyan, Deputy Prime Minister and Minister of the Interior, and H.H. Sheikh Mansour bin Zayed Al Nahyan, Deputy Prime Minister and Minister of Presidential Affairs. The decision aims to support the growth environment and to reaffirm UAE’s position in the global arena as a hub for investment.
A total of 122 economic activities across 13 sectors were specified to be eligible for up to 100 percent foreign ownership such as renewable energy, space, agriculture, and manufacturing Industry. The decision provides investors with an opportunity to acquire various shares in a number of economic activities including the production of solar panels, power transformers, green technology, and hybrid power plants.
Areas of foreign ownership also include transport and storage, which allows investors to own projects in the field of e-commerce transport, supply chain, logistics, and cold storage for pharmaceutical products. –
The Cabinet’s decision includes other areas of ownership by foreign investors, including hospitality and food services, information and communications, as well as professional, scientific and technical activities, thereby allowing for ownership in laboratories for research and development in biotechnology. The list also includes administrative services, support services, educational activities, healthcare, art and entertainment, and construction.
This new law amendment will definitely help to attract more investors in the UAE. But still, the local government and related authority will finalize the share percentage for various business activities. But right now the intentions are clear UAE market becomes more flexible an open for all investors without any hesitation. We can see this amendment will bring positive result I market vary soon.
How to Get 100% Ownership in Mainland Company in UAE
Yes, This is going to possible to get 100% foreign ownership in mainland companies as well. The UAE cabinet amends the previous law which restricts the foreign ownership to 49% only. The local registration authority will soon reveal the process and limitation to avail 100% foreign ownership in mainland company.
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