Arab Today, arab today dubai to issue investors instant trade licences
Last Updated : GMT 09:36:53
Arab Today, arab today
Arab Today, arab today

Dubai to issue investors instant trade licences

Arab Today, arab today

Arab Today, arab today Dubai to issue investors instant trade licences

Dubai - Arabstoday

The Dubai Department of Economic Development (DED) is planning to issue instant trade lic-ences to investors under a new ‘120 days hassle free licence\' initiative that will be launched this year. The move, which will allow investors to have their licences issued immediately, will drastically simplify the investment and business registration process, depending on the risk factors of the intended business activity. The UAE has improved its rank in Ease of Doing Business to 33 in 2012, up from 35 in 2011, under the World Bank\'s annual Doing Business report. DED said the scheme is aimed \"to give businesses in Dubai a head start and promote the emirate\'s competitiveness\". \"It is critical today that we ensure that the key sectors of our economy — trade, logistics, finance, knowledge sector, tourism, retail, and manufacturing and industry — are made even stronger and more competitive in this globalised age,\" Shaikh Hamdan Bin Mohammad Bin Rashid Al Maktoum, Crown Prince of Dubai, said. DED, the government\'s trade licensing and regulatory body, renews and issues roughly 120,000 trade licences annually. The 120-day licence allows businessmen to start businesses immediately and complete the rest of the licensing requirements, such as approvals from other government authorities concerned, within the subsequent 120 days. Government authorities are entitled to ensure full compliance by the licence holder to the licence criteria on day 121. The initiative, being implemented under the directives of His Highness Shaikh Mohammad Bin Rashid Al Maktoum, Vice-President and Prime Minister of the UAE and Ruler of Dubai, will simplify procedures and facilitate business. Quick growth \"Dubai being a hub, various categories of businesses choose to set up in the emirate for faster growth and market access. \"The 120-day licence is part of DED\'s efforts to enable businesses to make full use of the advantages of Dubai and improve the emirate\'s ranking in the Doing Business Report of the World Bank,\" said Mohammad Shael, Chief Executive Officer of the Business Registration and Licensing (BRL) Division at DED. Business activities have been categorised as no-risk, low-risk and high-risk for the sake of evaluating the risk component. More than 90 per cent of the businesses in the emirate are no-risk or low-risk and therefore a vast majority of businesses stand to benefit from the 120-day licence. For high-risk business activities constituting the remaining 10 per cent, such as restaurants and clinics, all standards set by the government authorities concerned must be fully met before DED issues the licence. Dr Khalid Maniar, founder and managing partner of Horwath MAK, told Gulf News, \"The move will definitely attract investment and improve the competitiveness of Dubai, and enhance its global ranking in doing business. Shael said: \"The categorisation depends on four main risk factors, evaluated on the basis of whether the business activity is harmful to human beings, harmful to animal life, harmful to plants, or harmful to the environment. \"When a businessman approaches DED for a licence, a 120-day licence is issued immediately, on completion of the necessary procedures, if the specific business activity falls under the no-risk or low-risk categories.\" Positive Jitendra Gianchandani, Chairman and Managing Partner at Jitendra Consulting Group, said, \"At the outset, the initiative looks very positive. However, a business cannot function if bank accounts are not opened and visas are not issued. \"So I don\'t know how the banks and the Ministry of Labour will be reacting to this as they will be linked to this. Recently banks have implanted stringent KYC [know your clients/customer] requirements. With such type of temporary licence, how will they open the bank account?\" he asked. It reflects that all emirates are not working in unison, he said. \"This is already an existing problem for investors and it will add to further confusion in the future,\" he said. Further clarification on the cost of issuing such licences and conversion to a permanent licence is needed, Gianchandani said. The low-risk category includes chemical plants and similar industrial operations that require pre-approvals from various authorities including the Dubai Municipality and Civil Defence. \"As the standard classification of the activity book is issued by the Ministry of Economy, which is a federal government body, therefore classification of activities by DED as no-risk or low-risk requires changes in the activity book of the Ministry of Economy,\" Gianchandani says. \"If they don\'t change [it], then it will create confusion and will add to the bureaucracy. Besides, the issuance of visas and bank account procedures in the case of ‘hassle-free licences\' has to be clarified,\" Gianchandani said \"In order to improve the rank as per the World Bank\'s ease of doing business, the same changes will have to be carried out across the UAE and not only in Dubai.\" Non-Emiratis are already allowed to hold 100 per cent ownership in Dubai companies even without a free zone licence. Professionals such as doctors, technicians, carpenters, cooks etc can have 100 per cent ownership unless the entity is a Limited Liability Company (LLC). Expatriates can only have 49 per cent ownership in LLCs with UAE nationals holding 51 per cent. Philosophy Referring to the 120-day hassle-free licence as a new philosophy of business registration and licensing, Shael said the initiative along with significant reforms like Law No 13 of 2011 will dramatically enhance the ease of doing business. \"These facilities have stringent standards often embedded in their design and they go through years of preparations and inspections. Hence there is no risk in issuing them a licence. \"It will in fact allow them to complete procedures like testing and hiring before starting actual operations,\" Shael said. Law No 13 issued by Shaikh Mohammad in 2011 acknowledges the contributions of free zone companies to Dubai\'s economy and allows such firms to open branches in Dubai while maintaining their presence in the free zone.

Name *

E-mail *

Comment Title*

Comment *

: Characters Left

Mandatory *

Terms of use

Publishing Terms: Not to offend the author, or to persons or sanctities or attacking religions or divine self. And stay away from sectarian and racial incitement and insults.

I agree with the Terms of Use

Security Code*

Arab Today, arab today dubai to issue investors instant trade licences Arab Today, arab today dubai to issue investors instant trade licences

 



Arab Today, arab today
Arab Today, arab today Nohan Seyam designs beautiful accessories

GMT 20:02 2017 Tuesday ,21 February

Nohan Seyam designs beautiful accessories
Arab Today, arab today Tourism shows signs of recovery

GMT 09:59 2017 Monday ,20 February

Tourism shows signs of recovery
Arab Today, arab today Sarah Belamesh designs antiques of "ceramic"

GMT 19:45 2017 Monday ,20 February

Sarah Belamesh designs antiques of "ceramic"
Arab Today, arab today 11 family members dead in rebel push

GMT 07:57 2017 Tuesday ,21 February

11 family members dead in rebel push
Arab Today, arab today To probe sexual harassment claims

GMT 10:08 2017 Tuesday ,21 February

To probe sexual harassment claims

GMT 05:15 2017 Tuesday ,21 February

Gold firms as markets await Trump tax plans

GMT 04:58 2017 Tuesday ,21 February

EU, IMF in ‘common position’ on Greece crisis

GMT 14:57 2017 Monday ,20 February

A giant initial public offering on track

GMT 14:50 2017 Monday ,20 February

Energy Market Research

GMT 09:38 2017 Monday ,20 February

Japan returns to trade deficit in January
View News in Arabic - Business: نفط وبتروكيماويات
Arab Today, arab today
Arab Today, arab today
Arab Today, arab today To hold social dialogue over secondary school

GMT 07:43 2017 Wednesday ,22 February

To hold social dialogue over secondary school
Arab Today, arab today 63-Year-Old Woman Delivers Baby

GMT 12:35 2017 Tuesday ,21 February

63-Year-Old Woman Delivers Baby
Arab Today, arab today Small ponds have outsized impact

GMT 15:53 2017 Tuesday ,21 February

Small ponds have outsized impact
Arab Today, arab today Pluto's unruly moons

GMT 06:31 2015 Thursday ,04 June

Pluto's unruly moons
Arab Today, arab today Nissan enhances sales in most markets

GMT 14:08 2017 Monday ,20 February

Nissan enhances sales in most markets
Arab Today, arab today Competes Sweden and Germans by S90

GMT 22:36 2017 Thursday ,16 February

Competes Sweden and Germans by S90
Arab Today, arab today Janat pleased for issuing 'Good Morning'

GMT 06:41 2017 Monday ,20 February

Janat pleased for issuing 'Good Morning'
Arab Today, arab today London to tax old cars

GMT 14:06 2017 Friday ,17 February

London to tax old cars

GMT 06:34 2017 Sunday ,19 February

Ahmed Fahmy stresses he did not ignore singing

GMT 06:50 2017 Wednesday ,15 February

Tragic fluctuations of Bakhtiari's life revealed

GMT 12:22 2017 Monday ,20 February

Kanye West puts hijab-wearing model

GMT 20:41 2017 Wednesday ,15 February

Teach monkeys to recognize themselves in mirror

GMT 23:29 2017 Thursday ,16 February

Home built on sand castles-style costs $8m

GMT 05:15 2017 Tuesday ,21 February

Omega 3 can reduce asthma cases

GMT 19:16 2017 Friday ,17 February

Aziz House ready to host the tourists

GMT 13:12 2015 Saturday ,09 May

Sheikh Sultan opens Sharjah Centre

GMT 12:39 2017 Monday ,20 February

newest smartphone another winner for Huawei

GMT 16:08 2017 Wednesday ,15 February

Shawsh reveals her collection "Jewelry of dreams"
Arab Today, arab today
Arab Today, arab today
 
 Arab Today Facebook,arab today facebook  Arab Today Twitter,arab today twitter Arab Today Rss,arab today rss  Arab Today Youtube,arab today youtube  Arab Today Youtube,arab today youtube
arabstoday arabstoday arabstoday arabstoday
arabstoday arabstoday arabstoday
arabstoday
بناية النخيل - رأس النبع _ خلف السفارة الفرنسية _بيروت - لبنان
arabstoday, Arabstoday, Arabstoday