United Arab Emirates permits greater foreign investment across new sectors
More than 100 commercial activities across a range of sectors will be eligible for up to 100 per cent. foreign ownership, according to a new resolution issued by the Cabinet of the United Arab Emirates in July 2019. The market has been anticipating the resolution since the new foreign investment regime was introduced in the UAE in November 2018.
The framework allows greater investment by foreigners in local companies incorporated “onshore” in the UAE (ie outside the free zones) in certain sectors operating in certain sectors on the “Positive List”, subject to licensing requirements. The Cabinet resolution sets out the 122 economic activities on the Positive List.
Please click here to read more about the activities on the Positive List and the other features of the foreign investment regime in our alert.
If you would like to read more about the framework of the foreign investment regime set out in Federal Law No.19 of 2018 regarding foreign direct investment, please click here to view our previous alert issued in November 2018.