Advantages of investing in Dubai for Yemenis and the conditions

Is investment in Dubai available for Yemenis?

Investment in Dubai is highly encouraged and welcomed, as foreign investors – including Yemenis – are allowed to invest in the city of ambition (Dubai). There are many investment opportunities available for Yemenis, such as real estate, stocks, bonds, mutual funds, various types of trade, and other different forms of investment.

The Emirate of Dubai is described as the main destination for money and business in the United Arab Emirates. It is classified as the primary hub for investment and investors coming from all over the world to the UAE, and it hosts large and diverse investment projects.

Investment law in Dubai for foreigners

The Emirate of Dubai has emerged as a central and essential hub for innovators, creators, and technology and invention entrepreneurs worldwide, after providing a developed environment for comfortable investment based on modern technological infrastructure. To regulate the investment market in Dubai and create a legal environment that protects the interests of all parties, while establishing a neutral competitive environment, the Dubai government has enacted special legislations, laws, and conditions for foreign investment in the emirate, along with packages of support, encouragement, and facilities for successful investors.

The legal legislations regulating the process of foreign investment in Dubai, including Yemenis, are based on laws specific to the emirate itself, issued by the Government of Dubai, in addition to other general laws issued by the federal government of the United Arab Emirates.

The most important laws related to foreign investment in the Emirate of Dubai can be clarified by the following points:

• Full ownership is allowed for any foreign investor in Dubai, according to Federal Decree Law No. 26 of 2020 amending some provisions of Federal Law No. 2 of 2015 regarding commercial companies.
• Full ownership (100%) for foreign investors in Dubai includes many commercial and industrial activities, except for economic activities related to the state's strategic interests.
• Before starting any commercial activity in the Emirate of Dubai, a foreign investor must obtain a commercial license, which requires several procedures to be completed sequentially in order to receive the legal license and start the investment activity without any issues.

It is worth noting that the United Arab Emirates encourages the growth of the private sector and competition, applies legislations and laws that prohibit monopoly, and enjoys strong relations with major commercial organizations at the regional and international levels. The UAE is also a member of international organizations such as the World Trade Organization since 1996, and a member of the Greater Arab Free Trade Area (GAFTA). All this proves that the investment law in Dubai aims to create a welcoming and encouraging environment for foreign investment.

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Investment conditions in Dubai for Yemenis

Regarding investment conditions in Dubai for Yemenis, the process of establishing a business in the UAE must go through a series of steps, including the following:

1. Determine the nature of the investment activity
2. Determine the legal form
3. Register the trade name
4. Apply for initial approval
5. Memorandum of Association and local service agent agreement
6. Choose the location or address of the business activity
7. Obtain additional government approvals
8. Submit documents and pay fees

As for step number 2, which is determining the legal form, this mainly depends on business requirements. In this step, the required laws and regulations must be identified, and the legal form must match the economic activity. For the specific requirements of each economic activity and its legal form, you can refer to the website of the Dubai Department of Economic Development or the Trader License booklet issued by Dubai Economy.

It should be noted that investment laws in the United Arab Emirates must be adhered to, including tax obligations and mandatory insurance. Transparency must be observed in presenting the financial budget, annual revenues, and other legal matters related to employees and others.

It is also necessary to obtain the appropriate residence permit for investment and achieve the required capital value for each type of announced investment, which must reach a certain value as determined by the legal legislations for foreign investment in the country.

Read more: Investment conditions in Dubai for foreigners

Advantages of investment in Dubai for Yemenis

The advantages of investment in Dubai for Yemenis are that the UAE enjoys economic, social, and political stability, with ease of doing business, a variety of business facilities, and an open economy system. In addition, there is an abundance of skilled labor, and attractive incentives for investment, including:

• Possibility of full ownership (100%) of investments in free zones.
• Allowing full ownership (100%) of investments in 122 activities and 13 sectors within the country.
• Possibility of obtaining up to 100% of profits!
• A flexible visa system that allows residency visa renewal every 10 years.
• The banking system in the UAE is strong, with high levels of liquidity and government support for the banking sector.
• No restrictions on the transfer of foreign currencies.
• The UAE currency (dirham) has great value and complete freedom to be exchanged for other currencies without restrictions.
• Low inflation rate in the UAE.
• Low customs tariffs in the UAE, ranging between 0 and 5%, covering almost all goods.

The above are the advantages of Yemeni investment in Dubai as part of the UAE, but Dubai, in addition to what has been mentioned, also has additional special advantages because some of the investment laws applied there are based on the general federal laws of the state, and some are specific to the Emirate of Dubai. Thus, among the advantages of investment in Dubai is that the emirate has a strategic location at the crossroads of Europe, Asia, and Africa, enjoys an ideal business environment, low taxes, and a modern and advanced infrastructure for living in a developed urban environment, with a modern, healthy, and safe lifestyle for individuals and families, and a luxurious life with high income levels compared to other countries. There are real opportunities for investment in a stable market, a fair competitive environment, the benefit of a strong healthcare system, and opportunities for innovation and creativity in exceptional projects and initiatives within an environment that nurtures and encourages entrepreneurship and innovation.

Volume of Yemeni investments in Dubai

The number of Yemenis in the UAE exceeds 100,000 people according to statistics issued by the Yemeni Ministry of Expatriate Affairs. Yemenis are known for their skill and excellence in trade; Hadhrami traders and other Yemeni merchants have been famous since ancient times, reaching the Indonesian archipelago, India, and other countries. Currently, they form an essential backbone in the trade of several countries in the Arabian Gulf, especially Saudi Arabia, and the UAE, particularly Dubai, has its share of Yemeni investments due to the welcoming environment it provides for Yemeni investors and traders.

Best types of investment in Dubai for Yemenis

When talking about the best types and fields of investment in Dubai, we find several fields available for investment in Dubai’s open market and diverse investment prospects, starting from real estate investment, commercial investment, investment in investment funds, investment in the financial sector, as well as investment in technology, healthcare, and even investment in the maritime transport sector and e-commerce.

Real estate investment in Dubai for Yemenis

According to Article 3 of the third real estate ownership law in the UAE for the year 2006, the areas where freehold ownership is permitted for foreigners in the Emirate of Dubai have been specified. A foreign investor wishing to own property in Dubai can inquire about the areas where freehold ownership is allowed from the responsible authorities and review all procedures, conditions, and legal requirements.

In the Emirate of Dubai, foreigners are allowed to own all types of commercial or residential real estate in the designated freehold areas specified by the state.

Imtilak Global services for Yemeni investors

As previously mentioned, there are certain restrictions on foreign ownership in some sectors or locations in Dubai. Therefore, before any Yemeni investor proceeds with investment in Dubai, it is recommended to seek advice from a specialized and experienced company to conduct thorough research on current investment opportunities. Here, the diverse services of Imtilak Global stand out for Yemenis wishing to own and engage in real estate investment in Dubai through all its stages, starting from real estate consultations and assistance in finding the right property, to providing everything needed to complete the property ownership process, and finally various after-sales services. For more information, you can contact us through our official channels.

Edited by: Imtilak Global Real Estate©

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