- UAE GVT presidential decree relaxed limits on the foreign ownership of onshore firms.
- As announced by media reports; decree is meant to strengthen UAE's global status.
- Follows DIFC Courts, FDI partnership to boost foreign direct investment.
Amendments to Corporate Law
- Amended UAE Federal Law No. 2/2015 to allow foreigners to own 100% of companies.
- Previously, expatriates' ownership was capped at 49% for firms outside of free zones.
- Foreign firms wishing to open branch in UAE, no longer need an agent with citizenship.
- Removed quotas requiring Emiratis to hold majority of board positions, serve as chairs.
- Companies going public can sell 70% of their shares, instead of the current 30% limit.
- Decree takes effect 1 December 2020, firms have one year from effective date to comply.