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The UAE encourages foreigners to establish companies

 

The UAE government has made legal amendments to regulate economic businesses in the country; With the aim of encouraging investment, competitiveness and attracting foreign capital, what appears to be a move that allows Israelis to fully own companies within their territories.

 

The amendments issued by the President of the State, Khalifa bin Zayed, on Monday, included the ownership laws for commercial companies, eliminating the need for the presence of an Emirati shareholder for internal companies.

According to the government statement, the new amendments give foreign investors the opportunity to set up their own projects in the UAE, regardless of their nationalities.

 

After the normalization of relations with the occupying power, the new laws give Israelis the opportunity to fully own companies within the Gulf state.

 

The UAE and "Israel" signed, in mid-September, an agreement to normalize relations under American auspices, amid widespread Arab and Islamic popular condemnation.

 

The amendments included 51 articles and adding new articles to the text of the law, most of which focused on reorganizing the provisions for establishing limited liability and shareholding companies.

 

The amendments also canceled the minimum percentage of Emirati citizens owning companies, which allows foreigners to establish and own companies with 100% of the shares, according to what was published by the official agency (WAM).

 

The requirement for a foreign company to have an agent who is a citizen of the state was abolished, and it allowed natural and legal persons to establish companies without the need for a specific nationality.

 

The new amendments come at a time when the country's economy is facing difficult conditions, due to the repercussions of the Corona pandemic and the decline in oil prices.

 

The International Monetary Fund expected the UAE's economy to contract by 6% this year, due to the great losses it suffered as a result of the pandemic.

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