Investment is attracted to destinations where it is easy to do business and there is a clear regulatory environment. This is why it is important that Dubai has consolidated its business regulations into a single piece of legislation that makes it faster and easier for companies to invest in the emirate. The legislation provides for a one-stop service centre where companies can get all the necessary licences from the relevant government departments and for the promotion of investment opportunities in Dubai, among other things. Internationally, these are proven ways of boosting investment.
In terms of the legislation, the Department of Economic Development will be responsible for the regulation of all business activity outside the free zones. The law was issued by His Highness Shaikh Mohammad Bin Rashid Al Maktoum, Vice-President and Prime Minister of the UAE and Ruler of Dubai.
Dubai has many advantages as it strengthens its position as a regional and international business and financial centre. These include a good geographic location, cutting-edge transport and logistical infrastructure and a stable society focused on making economic progress.
The new laws add to these advantages by bringing many aspects of business regulation in line with international best practice and highlighting Dubai's continuing commitment to improving corporate governance in the emirate. Any company embarking on business activities will be required to be licensed and have a legal structure.
Anyone caught violating the law will face substantial fines. This is necessary as even the best laws in the world serve little purpose if they cannot be effectively enforced. By putting in place this legislation, Dubai will further boost investor confidence in the emirate as a good place to invest and do business.
