UAE urges private joint-stock firms to hold annual meetings by June 30
Companies urged to comply, avoids penalties of up to Dh10 million
The Ministry of Economy and Tourism has stressed the need for private joint-stock companies to hold their annual general meetings within the legally prescribed deadlines, and no later than 30 June 2026 for companies whose financial year ended on December 31, 2025.
The ministry said compliance with the deadline is essential to ensure adherence to the relevant legislation, strengthen the principles of corporate governance and transparency, and avoid the imposition of administrative penalties. It added that timely compliance will also enhance companies' readiness for potential listing on the financial markets.
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The ministry said holding annual general meetings within the prescribed timeframe is a fundamental legal obligation, requiring companies to approve audited financial statements, discuss governance reports and take strategic decisions in line with Federal Decree-Law No. 32 of 2021 on Commercial Companies, while supporting the law's objectives of regulating companies and protecting shareholders' rights.
As part of the government's Zero Bureaucracy initiative, the ministry announced that services for renewing company registration and obtaining approval to hold annual general meetings are now fully instant through its official website, provided no special resolutions require additional review. The move reflects the ministry's advanced digital transformation and enables companies to complete procedures without delay.
Abdulla Bin Touq Al Marri, Minister of Economy and Tourism, said the UAE, guided by its leadership's vision, has established a modern legislative and regulatory framework and advanced economic services driven by technology, digital transformation and innovation, enabling businesses to operate in line with international best practices and the country's knowledge-based economic model under the "We the UAE 2031" vision.
He said compliance with legal deadlines for annual general meetings and the online submission of governance reports and financial statements reflects the maturity and competitiveness of the UAE's business environment and its adherence to advanced governance standards. He added that converting services into instant digital services strengthens efficiency, transparency, investor protection and companies' readiness for listing and growth.
The ministry warned that failure to comply with the deadlines constitutes a violation subject to progressively stricter administrative penalties, beginning with a warning and a grace period for rectification and extending to fines of up to Dh10 million, as well as other measures in cases of repeated violations, in accordance with the Commercial Companies Law and Cabinet Resolution No. 102 of 2022.
It added that holding annual general meetings is a prerequisite for maintaining a company's legal registration under Ministerial Resolution No. 137 of 2024, which links the renewal of registration to the submission of annual general meeting minutes and audited financial statements.
The ministry also stressed the importance of increasing female representation on corporate boards as a key pillar of sound governance and institutional diversity, in line with Ministerial Resolution No. 137 of 2024, which mandates women's representation to improve balance, decision-making quality and corporate performance.
It said recent amendments to the Commercial Companies Law have created broader opportunities for private joint-stock companies to convert into listed companies and offer shares through private placements, supporting the development of the country's financial markets and opening new investment opportunities.
The ministry described annual general meetings as the highest legal forum for major corporate decisions and said meetings of shareholders and boards should provide an open environment for transparent discussion and the exchange of views while respecting differing investment and legal perspectives within the framework of the law and in the best interests of the company.
It added that it monitors compliance through advanced supervisory systems, placing particular emphasis on the quality of governance reports, regulatory compliance and financial disclosure. The ministry said it has simplified procedures to the greatest extent possible while maintaining clear penalties for non-compliance to safeguard shareholders' rights and institutional discipline.
The ministry urged companies to make use of its instant digital services and ensure their annual general meetings are held within the legally prescribed timeframe. Through its official electronic platform, companies can submit requests, reports and required documents through a unified system, while virtual attendance and electronic voting have also been introduced in line with the highest governance standards.
