In an exciting development, the UAE Cabinet has approved certain sectors of the economy that will now be open to increased levels of foreign ownership. This step follows the introduction of the Foreign Direct Investment Law in late 2018.
Reports indicate that 122 different business activities have been identified as being 'open' to increased levels of foreign ownership.
We are eagerly awaiting the Cabinet Resolution which we expect will contain more details on the changes, what they mean for the UAE economy and how they may benefit our clients.
The Clyde & Co FDI team will be publishing further updates shortly.
The decision aims to support the growth environment and to reaffirm UAE’s position on the global arena as a hub for investment. A total of 122 economic activities across 13 sectors were specified to be eligible for up to 100 percent foreign ownership such as renewable energy, space, agriculture, and manufacturing Industry. The decision provides investors with an opportunity to acquire various shares in a number of economic activities including the production of solar panels, power transformers, green technology, and hybrid power plants.