Abu Dhabi and Dubai have long been some of the world’s most prominent financial hubs, attracting a wide array of foreign business owners and expats from all over the globe.
The United Arab Emirates government knows what it is doing when it comes to attracting investors and highly skilled professionals, which is why the recent announcement of looser residency laws and new visa rules should come as no surprise.
If you are looking for a way to move to the UAE and start your business in Dubai, you have considered expanding your investment portfolio, or you are just curious about what the process is like, then read on to learn about the UAE’s new visa rules and their impact on investors.
What are the new visa rules?
This year, the government of the United Arab Emirates announced its plan to relax its residency laws and allow long-term visas (for up to 10 years) to investors and highly skilled workers in order to lure additional worldwide investment and innovators.
As of now, the government is focusing on granting these long-term visas to highly skilled specialists in science, medicine and research. Moreover, it isn’t just the specialists who are invited; the families of these categories of expatriates will also be able to obtain the equivalent visa validity.
Furthermore, top performing students from around the world will also potentially qualify for a 10-year residency visa scheme or five-year residency visas if they are already studying in the UAE.
The loosening of these visa regulations is aimed to make the UAE a launchpad for industry pioneers and a known locale for investors.
In fact, Sheikh Mohammed tweeted, “The UAE will remain an incubator for innovators and a hub for investors. Our open environment, tolerant values, infrastructure and flexible legislation, constitute the best plan to attract global investments and exceptional talents. The UAE will remain a land of opportunities. It is the best environment to realise the dreams of humans and unleash their exceptional potentialities.”
How does this affect foreign companies?
Another announcement that the government of Dubai made is that this year, they are planning to allow foreign investors to obtain 100 percent ownership of their Dubai-based companies.
At the moment, unless a foreign company is operating in one of the free zones in the country, any foreign firm must have an Emirati controlling 51 per cent of the shares.
So, this is the perfect time to consider starting a business in Dubai.
Business owners throughout the UAE are thrilled with the announcements and have praised the government for making pragmatic, business-friendly and investor-friendly decisions.
In other words, the new policy decreases the cost of doing business in and out of the UAE, and these changes will serve fast-growing startups with limited funds.
Plus, these startups will be able to hire more recent grads for internships or jobs as they won’t have to be concerned about their visas — another win-win situation! Over time, the long-term benefit will be that all firms in the country will have a broader and cheaper talent pool to choose from and more expats will reinject their pay into the UAE economy, rather than investing the cash back home.
Why has the UAE made these decisions?
These changes, which are expected to be implemented by the end of the year, are a result of the UAE government looking to diversify their economy and boost growth in a way that decreases their reliance on oil.
Other Gulf countries have made similar steps; however, the UAE is at the forefront in an attempt to stay ahead and remain competitive in the region.
How can you take advantage of these new rules?
The UAE is both a dream travel destination and a fantastic business destination— these new rules are only making it more attractive than ever. As more and more in-the-know entrepreneurs and investors look to the UAE market and want to get a part in it, it is only going to become more competitive to carve out your niche.
However, that doesn’t mean it is impossible, and there has never been a better time to start getting the ball rolling in order to expand to one of the world’s fastest-growing markets.
The benefits of operating a business in this part of the world include taking advantage of a tax-free business environment, a simple system for incorporation of companies, and official policies that are centered on business development.
Other benefits, you ask? There’s also the central geographical location, the appropriateness for trading and other businesses, and the exceptional infrastructure to ensure that your company can flourish.
If you want to know more about making this a reality, reach out to the professionals who know how to do business solutions in Dubai.
What do you think of the new announcement? Does that change your mind in terms of investing in the UAE? Alternatively, are you planning on moving there? What is stopping you from expanding your business to this part of the world?
Let us know your thoughts in the comments below!