UAE to allow 100 percent foreign ownership of companies from June

The UAE will allow foreigners to start a company without an Emirati shareholder from next month.

The change comes into effect from June 1, WAM reported.

“The amended Commercial Companies Law aims at boosting the country’s competitive edge and is a part of UAE government efforts to facilitate doing business,” said Minister of Economy Abdulla bin Touq Al-Marri.

Previously companies needed either to have an Emirati shareholder or be based in a dedicated business park known as a free zone.

It was not immediately clear how the country’s many major free zones will now seek to attract new tenants, however some are already shifting focus.

The Dubai Airport Free Zone Authority (DAFZA) said on Wednesday that companies trading with crypto assets could now obtain a business license in a new agreement that supports the mainstream use of blockchain technology.

The free zone agreed with the Securities and Commodities Authority (SCA) to allow the regulation, offering, issuance, listing and trading of crypto assets within DAFZA.