UAE eases limits on foreign ownership to attract investors


PTI, Nov 24, 2020, 11:28 AM IST

Dubai: The United Arab Emirates has relaxed and removed a range of limits on foreign ownership of companies, state-run media reported Monday, in the country’s latest bid to boost its global status and attract foreign investors.

The overhaul signals yet another startling change for the federation of seven desert sheikhdoms as it grapples with the economic fallout of the pandemic.

Earlier this month, the UAE announced a series of reforms to its Islamic legal code, allowing unmarried couples to cohabitate, improving protections for women and loosening restrictions on alcohol consumption.

The dramatic changes come as the UAE has spent billions of dollars preparing to host some 25 million visitors for the World Expo, which was pushed to 2021 due to the pandemic.

The emirates are also expecting Israelis will join the legions of foreigners who have opened businesses and bought apartments in the coastal cities of Dubai and Abu Dhabi following a breakthrough US-brokered normalisation deal between the countries.

The presidential decree changing the corporate law helps the UAE “strengthen its leading position regionally and globally as an attractive destination for projects and companies,” state-run WAM news agency reported.

The reforms allow foreign entrepreneurs and investors to set up their own companies without involving local shareholders, the agency said.

That’s a welcome development for the country’s many expatriates who long had their ownership capped at 49 per cent in firms outside free zones.

Other legal amendments remove quotas requiring that Emiratis hold the majority of board positions and serve as chairs for onshore companies. But the move deals a blow to longstanding rentier benefits for Emirati citizens, many of whom made their livings as figurehead company partners.

State-linked newspaper The National reported the decree in further detail, saying the foreign ownership amendments would take effect within six months.

Companies could take an entire year to start complying with the changes, it added.

Udayavani is now on Telegram. Click here to join our channel and stay updated with the latest news.

Top News

Maha: One dead in road accident in Chandrapur district

China says latest round of talks with India on border issue ‘positive and constructive’; slams White House official’s remarks

Karnataka legislature joint session from Feb 14, budget in March first week

He didn’t want the money, he just wanted to play: Looking back at Deepak Hooda’s rollercaster ride

‘Badhaai Do’ humour not at the expense of LGBTQI community, it’s a sensitive film: Bhumi Pednekar

‘Goonda raj’ to return if Akhilesh forms govt in UP: Shah

Hockey legend Charanjit Singh dies


Related Articles More

Gold plunges Rs 563; silver declines Rs 1,186

Rupee slumps 31 paise to over four-week low of 75.09/USD

US-based EV infra solutions firm EvGateway launches operations in India

Star Air Celebrates 3 years of Connecting Real India

Govt notifies Air India asset transfer agreement with AIAHL; stage set for AI handover to Tata Group

MUST WATCH

History and Significance of Barkur

Udayavani News Bulletin 27-1-2022

A Crow In Obalapura Village In Chitradurga Is Attacking 7 People

DK Shivakumar Press meet

Hindu Vahini members manhandled, detained by Guntur Police


Latest Additions

Maha: One dead in road accident in Chandrapur district

Kerala witnessing Omicron wave, says Minister

Man gunned down in high-security area of Ranchi

China says latest round of talks with India on border issue ‘positive and constructive’; slams White House official’s remarks

Nadda forms 4-member panel to probe TN girl’s death by suicide

Thanks for visiting Udayavani

You seem to have an Ad Blocker on.
To continue reading, please turn it off or whitelist Udayavani.