The UAE has the advantage of:
- Strategic location
- State-of-the-art infrastructure
- Variety of business premises
- Political stability
- Social stability
- Ease of doing business
- Protection of intellectual property rights
- Favourable business regulations
- Open economy
- Economic stability
- No corporate tax.
The UAE is blessed with a strategic location between the east and west, which makes it accessible to major emerging economies, linking shipping routes and facilitating goods' transportation between the various regions in Middle East, Asia, Europe and Africa.
The UAE provides advanced infrastructural facilities in all fields. In March 2016, Dubai announced to set up the world's biggest wholesale city , with an investment of AED 30 billion. The city, which will occupy an area of 550 million sq ft aims to help the UAE acquire a significant share of the global economic sector, estimated at USD 4.3 trillion. The city will be linked with Jebel Ali Port and Al Maktoum International Airport and will provide logistical support that will fully link with four continents.
Refer to the infrastructure section for more information.
Variety of business premises
The UAE offers endless choices of business premises and locations. According to your business activity, you are at liberty to choose a place appropriate for operation whether on the mainland or in a free zone.
You can set up your business in:
- plush business centres
- fancy shopping malls
- state-of-the-art commercial furnished buildings and towers
- industrial areas
- free zones specialised in a range of industries from logistics to media, power and information technology.
The UAE is a model of political stability. Since its formation in 1971, the UAE has been a successful constitutional monarchy and continues to be so. This is because of the belief system of the UAE's Founding Fathers in peace and justice and the continued belief of the present political system and government in the same.
As per Al Bayan's report , the UAE has 102 diplomatic missions abroad which include 80 embassies, 18 consulates and 4 permanent missions. There are 199 foreign diplomatic missions in the UAE which include 110 embassies and 73 consulates.
The UAE is a member of Gulf Cooperation Council (GCC), Arab League and the UN and its agencies. According to the Global Peace Index 2016, the UAE is the third most peaceful country in the region.
Despite the presence of a large foreign community in the country, the UAE is a safe place to work in and develop your capital with favourable living conditions and quality of life. The UAE Government emphasises on tolerance in the society. Moderation and acceptance of others are innate in the UAE culture.
With 110 crimes , the UAE had one of the lowest level of violent crimes in the world in 2015. The UAE ranked 9th among countries with lowest crime rates and 4th concerning assault offences in general. These rankings are better than many advanced countries around the world.
Ease of doing business
According to Doing Business 2017 , the UAE scored 26th rank globally and 1st rank regionally. The UAE's global ranks in the various sub-indices are as follows:
- Starting a business - 4th rank
- Dealing with construction permits - 1st rank
- Getting electricity - 1st rank
- Registering property - 1st rank
- Getting credit - 5th rank
- Protecting minority investors - 1st rank
- Paying taxes - 2nd rank
- Trading across borders - 6th rank
- Enforcing contracts - 1st rank
- Resolving insolvency - 7th rank
Protection of intellectual property rights
It maintains protection of intellectual property rights, trademarks and it has enforced laws against piracy.
Favourable business regulations
The UAE signed major business international treaties to encourage business and foreign investments. It maintains tightened export control laws to prevent the movement of illicit goods as per Federal Law No. 13 of 2007 concerning Goods Subject to Import and Export Control.
The UAE has its own regulations which prohibit monopoly and encourage competition. The UAE encourages private sector growth and maintains liberal policies in terms of foreign exchange controls, visa policies and import regulations. The UAE has strong ties with key trade associations to strengthen its position as an open economy and player in the international trade and competition.
Useful links from Ministry of Economy:
The UAE's economy is growing at fast pace; its GDP increased more than 236-fold from AED 6.5 billion in 1971 to AED 1,540 billion in 2014 .
Currently, the UAE is implementing policies for a future beyond oil . The UAE plans to increase the contribution of the non-oil sector to 80 per cent of the nation's GDP in the next 10 to 15 years.
For this purpose, it has employed several strategies to promote its overall economic and social position and diversify its national income based on a sustainable and knowledge-based economy, away from the dependency on oil. Read about strategies and plans here.
Some of the other advantages of investing in the UAE are:
- competitive energy costs, in terms of electricity, water and oil
- competitive real estate costs; minimal rent charges are applied to lease of lands allocated for industrial investment purposes
- competitive financing costs, high levels of liquidity and strong banking system supported by the government
- maximum customs fees are 5 per cent, which is the lowest rate in the region
- availability of skilled and unskilled labour at cost-effective rates
- implementation of many international agreements and reform regulations which protect labour rights and promote a healthy transparent relationship between the employers and employees
- availability of the choice to partner with local business people and explore different markets inside the UAE and the other GCC countries.