Government Facilitating FDI in UAE

The UAE government has eased the way to foreign direct investment (FDI) in the emirates. It has also framed laws and rules to facilitate FDI, which would definitely allow better inflow of foreign capital into the emirates that will help the government to broaden the job market of the country and concentrate on other domains like IT, engineering, healthcare, and others, along with the booming oil and petroleum industry. With the new rules on the board, the rights and property of foreign investors will be protected and the investors will also be able to import the innovative and intelligent brains from their countries and make the move more productive. This would directly help the country to grow its business and infrastructure, while creating more and more UAE jobs.

The federal government has also set up a committee to frame the investment law of UAE, and the committee will include officials from finance and legal ministries, along with representatives from thirty five business firms from both private and public sectors. But one must bear this in mind that every emirate has different standards for FDI, and framing the law would be a time taking task. The Minister of Economy of UAE is expecting a big increase in the FDI for the year 2012.

However, as per the UAE law, the nationals are only authorized to own a company in UAE, or have full ownership of a firm. If the foreigners want to start a business, they must have a UAE partner to start with. At present more than 3,000 foreign companies are operating in the UAE the total amount of FDI from the foreign companies have been more than $51billion, which accounts for around 16% of total investment in the Arab economies, which would create more UAE job.