UAE Ministry of Economy registers 18 private stock companies and 296 foreign corporations in 2007

The MoE also confirmed that 296 foreign corporations were licensed to operate in the UAE in 2007, up from 254 in 2006, raising the total number of MoE-registered foreign companies to 2,515.

The figures reflect Ministry-led efforts to enhance the UAE's economic performance through the modernization of laws and regulations governing the national business sector. Such initiatives are aimed at complementing the country's rapid economic growth and its highly competitive status in the regional and global levels, particularly through the encouragement of foreign investments.

H.E. Hamid bin Butti Al Mahiri, MoE Assistant Undersecretary for Corporate and Supervision Affairs, said that the Ministry has recently made important decisions related to stock companies which are helping promote the role of the private sector in the national economy and strengthening the country's financial markets. The UAE has attracted phenomenal foreign investment and continues to gain momentum from the increased confidence of local and foreign investors in its economy.

H.E. Al Mahiri also highlighted the aggressive efforts being made by the Ministry to maintain the flow of economic activities to keep pace with rapid development, such as the drafting of the new Competition Law and the introduction of the Foreign Investment Law. The Ministry is also closely coordinating with the public and private sectors on the final stages of the drafting of the Companies Law. The proposed law is expected to maintain a favorable investment environment and enhance foreign investment inflow.

H.E. Al Mahiri mentioned that the Ministry is poised to issue an arbitration law for private companies to strengthen administrative rules. The new rules would improve corporate management while ensuring transparency in transactions, which is essential given the critical role of the business community in national growth, especially in terms of the size, large capital, and extensive scope of companies.

Ahmed Al Hosani, Director of Companies Department, MOE, stated that the data on private and foreign companies registered at the Ministry is a concrete reflection of strong national economic development across all financial, trade, and investment sectors. Al Hosani added that the stable economy and favorable investment environment of the UAE and a reliable and constantly updated legislative framework have spurred the establishment of these companies in the country.

All these positive indicators complement continuous government efforts to strengthen the role of the private sector and public and private stock companies in particular. The country welcomed 39 new joint-stock companies with a combined capital value of around AED 24 million and witnessed a total capital increase of approximately Dhs17bn in 2006. The total number of private stock companies established in 2006 that registered with the MoE was tallied at 29, with a total value of Dhs10bn.