UAE Ministry of Economy Working on New Legislation to insert 10 New Sectors to Commercial Companies Law:
Sharjah Skyline, the landmark legislation in the commercial companies’ law to allow onshore investors and businesses full 100 percent foreign ownership in UAE. The new legislation is close to finalizing and the legislation will be applied to 10 new sectors of strategic importance to come under the regulations of the law. The list of the industrial sectors will be soon announced by the UAE cabinet.
The declaration made by the seventh edition of Sharjah Economic Ramadan Majlis planned by Sharjah Investment and Development Authority (Shurooq) in association with the Sharjah Chamber of Commerce and Industry (SCCI) and Sharjah FDI Office (Invest in Sharjah) at Sharjah Research Technology and Innovation Park (SRTIP).
The title of Majlis was the role of the New Industrial Strategy and Commercial Companies Law in developing the national economy and enhancing its competitiveness. This meeting was held by Ahmad Al Marzouki and The Majlis conference was led by Abdulla Al Saleh, Undersecretary of the Ministry of Economy for Foreign Trade and Industry;
Omar Ahmed Suwaina Al Suwaidi, Undersecretary of the Ministry of Industry and Advanced Technology; Osama Amir Fadl, Assistant Undersecretary for the Industrial Accelerators Sector at the Ministry of Industry and Advanced Technology;
- Marwan bin Jassim Al Sarkal, Executive Chairman of Shurooq;
- Hussain Al Mahmoudi, CEO of SRTIP;
- Khalid Omar Al Midfa, Chairman, Sharjah Media City (SHAMS);
- Fahad Al Gergawi, CEO, Dubai Investment Development Agency;
- Mohammad Juma Al Musharrkh, CEO of Invest in Sharjah;
- Najla Al Midfa, CEO of Sharjah Entrepreneurship Center (Sheraa)
Abdul Aziz Shattaf, Assistant Director-General of Sharjah Chamber of Commerce and Industry (SCCI).
Abdulla Al Saleh explained that nullification of national service agent was approved on April 1st and it is necessary for current and previously licensed businesses in the UAE to modify their statuses according to the new amendments to the commercial company law.
Foundations of future economies
Abdulla Al Saleh also gave a brief overview of this new legislation that was designed to follow a clear vision of UAE’s economic future and increase the nation’s marketability for local and international business investors.
Al Saleh further explained that this legislation was not the outcome of the current worldwide crisis but a clear idea with the collaboration of local and private sector stakeholders.
Abdulla Al Saleh said:
“The future depends primarily on attracting innovative talents who will lay the foundations of economies of the future”.
The UAE industrial strategy which is called (Operation 300 bn) has a goal to raise the contribution of the manufacturing sector to the national GDP to 300 billion dirhams by 2031.
According to Omar Ahmed Suwaina Al Suwaidi, they held meetings with major industry partners of UAE and planned to discover new challenges of 3 specific sectors which includes;
- Chemical, pharmaceutical, and defense industry.
- National food and healthcare security industry.
- Future industries such as space and renewable energy.
Strengthening investors’ confidence
Fahad Al Gergawi, CEO of Dubai Investment Development Agency described that with advanced modern technology, UAE can jump into the future by helping local sponsors. He supported modern research and studies that can put a huge impact on the UAE economy.
Fahad Al Gergawi also elaborated their long-term strategy to attract global talent and enhance their regional economic system. The new legislation’s focus is to minimize the burden on entrepreneurs and create profitable opportunities for global investors.
Abdul Aziz Shattaf explained the commercial level of Sharjah is among the biggest sectors of UAE and more than 2,000 factories are operating linked with agriculture goods and electronic gadgets.
Najla Al Midfa said:
“Our latest initiative was to launch the “Sharjah Startup Studio” the first government-backed startup studio in the UAE.
It is designed to build enduring businesses that will accelerate the region’s digital transformation. Through every initiative, we reaffirm Sheraa’s commitment to supporting high-impact startups, who will, in turn, play a vital role in reinvigorating the UAE’s economy.”
This session’s agenda was to create an ideal commercial platform with the introduction of new legislation and encourage global businesses to invest in UAE by strengthening the national economy.