(THIS ARTICLE IS COURTESY OF THE SAUDI NEWS AGENCY ASHARQ AL-AWSAT)
UAE Adopts 122 Economic Activity of 100% Foreign Ownership
A statement issued by the government said that the decision aims to support the country’s growth environment and reaffirm its position on the global arena as a hub for investment.
The cabinet meeting was chaired by Vice President, Prime Minister and Ruler of Dubai Sheikh Mohammed bin Rashid Al Maktoum, and attended by Deputy Prime Minister and Minister of the Interior Lt. General Sheikh Saif bin Zayed Al Nahyan, and Deputy Prime Minister and Minister of Presidential Affairs Sheikh Mansour bin Zayed Al Nahyan.
Sheikh Mohammed bin Rashid announced the decision in a tweet on his account, saying: “we approved 100% foreign ownership in 122 economic activities in fields including agriculture, manufacturing, renewable energy, e-commerce, transportation, arts, construction and entertainment.”
The Prime Minister declared that local governments will identify relevant ownership percentages in every activity, indicating that the goal is to stimulate, facilitate and activate business, open and expand new economic sectors, attract new investors and talents, and enhance global competitiveness of the national economy.
“We also approved a benefit-transfer scheme among the country’s pension funds. We want to facilitate procedures for our citizens to move between federal and local sectors and civil and military sectors, and vice versa. We are united to serve one country and one goal.”
As a result, 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, according to WAM.
Areas of foreign ownership also include transport and storage, which allows investors to own projects in the field of e-commerce transport, supply chain, logistics, and cold storage for pharmaceutical products.
Other areas of ownership by foreign investors include hospitality and food services, information and communications, as well as professional, scientific and technical activities, thereby allowing for ownership in laboratories for research and development in biotechnology.
The list also includes administrative services, support services, educational activities, healthcare, art and entertainment, and construction.
In other governmental affairs, the cabinet adopted the restructuring of the Education and Human Resources Council, chaired by Minister of Foreign Affairs and International Cooperation Sheikh Abdullah bin Zayed Al Nahyan.
It also approved the decision to finance the funding of federal universities and colleges based on performance results for the academic year 2018-2019, aiming to increase financial planning efficiency and implementation of the budget.
The cabinet reviewed a number of reports of the Higher Committee to measure compliance with international standards for combating money laundering and combating terrorism financing and corrective actions.