With the “Next Generation Foreign Investments” initiative, the UAE is the land of opportunity

Economy

High quality investment incentives

The UAE has launched a new global Next Generation initiative aimed at attracting 300 of the best technology companies in the world, making it a land of opportunity.

The UAE is for the fifth consecutive year first in the Arab world and ninth worldwide in the World Competitiveness Yearbook 2021 report.

The UAE has strengthened its position as a global capital for foreign direct investment through a package of measures and incentives that have placed it in an attractive position for investment, even in the most difficult years for the world economy.

In 2020, which has been classified as the most difficult year in economic terms since the Great Depression of 1929, the UAE has managed to attract $ 20 billion in foreign investment, according to official data.

International companies have found working in the UAE, not only to make a profit, but a great way to progress rapidly in the careers of entrepreneurs and employees, paving the way for new opportunities and greater responsibility.

The UAE offers many incentives to investors, supports entrepreneurship and provides incentives to increase the number of companies set up to support plans to diversify national sources of income.

Government agencies place barriers to the flow of investment. Since its inception, the UAE has provided incentives to investors and is moving forward to make its environment more competitive to attract foreign investment.

100% full ownership of companies

Investors of different nationalities were allowed to fully establish and own companies in the UAE and in all regions, following the issuance of the Commercial Companies Act in the year 2020, and the absence of a requirement for the presence of a state agent for a foreign company that wants to open a branch and conduct its activities in the country.

40 free zones for company formation

There are more than 40 free zones that allow foreign investors to own 100%. The state offers investors flexibility in choosing the appropriate free zone to establish their companies, and the free zones are spread across all state lands. It allows the pursuit of all economic activities and tax exemption.

Investment in all economic activities

Foreign investors in the UAE can invest in the sectors of trade, industry, agriculture, services, education, health, construction and many others, and the available economic activities exceed 2,000 activities, and the law has excluded a very limited number of activities with a strategic impact.

Owns all legal forms of companies

After the issuance of Federal Law No. (26) of 2020, with respect to commercial companies, foreign investors were allowed to own all legal forms of commercial companies, such as: public shareholder companies, private joint stock companies, limited liability companies, simple partnership companies, and solidarity companies.

Does not require the presence of a civic agent

The UAE Commercial Companies Act did not require foreign companies wishing to open a branch and conduct their activities in the United Arab Emirates to have an agent who is a citizen of the UAE, which is a significant advantage that foreign companies enjoy and the convenience of doing business in the country and giving it more transparency.

Control over the boards of joint stock companies

The UAE Commercial Companies Act does not require the chairman of the board or the majority of the members of the board of directors of UAE citizens, which gives foreign investors the right to have full control over their shares in companies, unless any decree or decision determined otherwise.

Without a minimum capital

The law in the UAE requires investors to determine the capital in the articles of association and articles of association of companies. But it did not require a minimum capital for limited liability companies, making it easier for investors to set up companies and establish businesses, giving investors greater flexibility in planning their projects.

Excluding income tax and transfer to all profits

The UAE does not levy income tax on individuals, investors or companies, except for oil companies and branches of foreign banks. It also allows individuals and investors the freedom to transfer their profits completely, and these incentives are benefits that investors in the UAE have historically enjoyed, where the model of a free economy has been followed since the founding of the state.

Golden residence for investors

The UAE applies a long-stay visa system, for periods ranging from five to ten years, to investors, entrepreneurs and talents. This allows UAE residents and their families who want to live to work in the country to live and study, the opportunity to settle, establish their businesses and enjoy a long stay.

Ease of hiring professional workers

The UAE is seen as an incubator of competencies, skilled labor and human capital of talented people in important and vital economic sectors, due to its flexible labor policy and ease of attracting foreign workers. The growing labor sector in the UAE has made it possible to build highly specialized cadres in various disciplines.

Low customs tariff

Low customs duties have helped strengthen the UAE’s position as a global center for trade, and the value of government tariffs in the UAE varies only between zero and 5%. Therefore, the UAE occupies a leading position globally and regionally in trade, as it is third and first in the Arab world worldwide in re-exports.

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