The UAE Ministry of Finance (MoF) announced the implementation of the Federal Decree-Law No.12 on December 1, 2023, covering the general regulatory framework for partnerships between federal government bodies and the private sector.
The new law aims to accelerate the implementation of projects that offer added value for public funds and minimization of financial as well as operational risks to the government.
The Ministry of Finance stresses that the law will enable an increase in investments in federal government projects of social and economic value and encourage the private sector to participate in developmental and strategic projects.
The new law will make it faster to start projects that give extra benefits for public funds. It will also ensure the government faces fewer risks with money and operations and improve how it handles some buildings and public services. Plus, it will help projects compete better in local, regional, and global markets.
According to the MoF, the law also specifies exemptions in the Partnership Projects Manual including projects entities and sectors that are exempt under UAE Cabinet Decisions.
Ensuring business continuity
The law also ensures the continuation of the implementation of Cabinet Resolution No (1/1) of 2017 on the procedures manual for partnership between federal entities and the private sector and Cabinet Resolution No (4/8) of 2019 on the procedures manual for partnership between the public and private sectors in the UAE, until the issuance of the Partnership Projects Manual, as long as they do not conflict with the law, according to the ministry.
Source: Gulf Business