What’s new?
The Abu Dhabi Department of Economic Development (DED) issued a substantially expanded 2.0 list of activities available to 100% foreign-owned companies (Abu Dhabi DED List). This follows the publication of list 1.0 on 23rd May (See our structural update here). Additions to the list are extensive and most notably include a range of trading and retail activities.
The update brings the Abu Dhabi DED list closer to the activities covered by Dubai Economy’s list (See our structural update here).
There are informal indications that the Abu Dhabi DED will not impose any restrictions (share capital or otherwise) on companies eligible for 100% foreign ownership.
Key observations
A much broader range of commercial and industrial activities are available.
Similar to Dubai Economy’s approach, many activities generally categorized as ‘professional’ in nature such as ‘management consultancy’, ‘HR consultancy’ and ‘fashion designing’ are absent from the Abu Dhabi DED list. However – some are present including: ‘corporate service provider’, ‘companies representation’, ‘tax agent’, ‘accounts auditing’, and various management service activities. So while not all professional activities are on the table, many are – indicating a more selective approach to professional activities.
We expect the lists to continue to evolve and expand over time.
What we say
????Come gather ’round people
Wherever you roam
And admit that the waters
Around you have grown
And accept it that soon
You’ll be drenched to the bone
If your time to you is worth savin’
And you better start swimmin’
Or you’ll sink like a stone
For the times they are a-changin’????
Bob Dylan – 1964 – but it is painfully accurate today as the Abu Dhabi and Dubai DED are sending clear messages of fundamental support for the changes to the foreign ownership laws.
Team M/HQ is monitoring the developments closely. Get in touch to determine how your business can benefit from the changes.
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