In a bid to streamline regional commerce, Abu Dhabi has unveiled a landmark policy permitting companies registered in other UAE emirates—including those in free zones—to establish branches in the capital without physical office requirements during their inaugural year. Announced by the Abu Dhabi Department of Economic Development (ADDED), the initiative spans 1,200 commercial sectors and aims to accelerate growth in non-oil industries, aligning with broader efforts to diversify its economic base beyond hydrocarbons.
Operational Framework:
Eligible businesses can now bypass traditional setup hurdles through a streamlined digital application process via the TAMM government services portal. After submitting documentation, securing approvals, and settling fees, firms receive an economic license to operate in Abu Dhabi. For 12 months post-issuance, entities may maintain operations from their existing headquarters in other emirates while conducting business in the capital. This “virtual presence” phase is designed to reduce upfront costs and encourage cross-emirate investment.
Parallel Regulatory Shifts – Environmental Enforcement Tightened
Separately, the Abu Dhabi Environment Agency (EAD) has rolled out stringent environmental accountability measures, introducing escalating penalties for violations. Sanctions now include fines, activity suspensions, license revocations, and facility closures, targeting individuals and corporations whose projects harm ecosystems.
Appeals and Compliance:
Violators have a 60-day window to contest penalties, with unresolved appeals automatically approved if not addressed within 90 days. The EAD emphasized that penalty severity will reflect factors such as ecological damage extent, violator intent, and prior compliance history.
These dual developments underscore Abu Dhabi’s dual focus on economic agility and environmental stewardship, balancing business-friendly reforms with heightened sustainability mandates.
Source: https://enterprise.news/