Workshop highlights businesses available for foreign ownership

The Sharjah Chamber of Commerce and Industry (SCCI) organised on Tuesday a workshop to familiarise its employees with the businesses available for foreign ownership and the legal forms regulating this matter in addition to discussing mechanisms of implementing Federal Decree-Law No. (26) of 2020 amending the provisions of Federal Law No. (2) Of 2015 on Commercial Companies.

Entitled ‘Investors Guide for Foreign Ownership Businesses’ and held at the SCCI’s headquarters the workshop was and attended by Mohammad Ahmed Amin Al Awadi, SCCI’s Director-General, Mariam Saif Al Shamsi, Assistant Director-General for Support Services Sector, Abdulaziz Shattaf, SCCI Assistant Director-General, Members Services Sector and Director of Sharjah Exports Development centre.

Also present were Ibrahim Rashid Al Jarwan, Director of Economic Relations and Marketing at the Sharjah Chamber, as well as other heads of departments, a number of employees from the chamber.

Dr Muddathir Abdullah Ali from the Sharjah Economic Development Department (SEDD) delivered the workshop, explaining the type of businesses available for foreign ownership across various sectors that exceed more than 1289 commercial and industrial ones. He also outlined the type of businesses limited to Emiratis, which were restricted to 10 sectors, namely real estate, electronic trading, auto economic activities, legal advice, and businessmen services, call centers, taxis, passenger transport by public transport, labour supply, and accreditation licenses.

Al Awadi stressed the importance of organising the workshop, which comes in line with the Chamber’s strategy aimed at developing the skills of its employees and enhancing its functional competencies so as to support the sustainable development process in Sharjah and upgrade the services provided to the business community.

He said the new law would not have been possible had it not been for the forward-looking vision and wise policy pursued by the UAE leadership, and also represents an ideal response to the needs of the next stage of growth and economic development witnessed by the UAE.

The workshop made it clear that companies can still stay sponsored by Emirati partners, and that there is no requirement for a specific capital to practice the businesses allowed to be owned by foreigners, in addition to that no additional fees are imposed to engage in businesses subject to foreign ownership.

The Sharjah Economic Development Department announced recently that, starting June 2021, it would be implementing the full foreign ownership policy, allowing investors of natural and legal persons to own 100 percent of commercial and industrial companies and practice activities in the Emirate of Sharjah.

This decision includes no requirements such as a specific capital or any additional fees for foreign investors, while allowing branches of foreign companies to conduct their business in the Emirate without the need for an agent of a foreign company.

This came in accordance with the decision issued by the department regarding the activities available for foreign ownership, based on the federal and local laws and previous decisions in this regard, especially Federal Decree Law No. (26) of 2020 regarding the amendment of the provisions of Federal Law No. (2) of 2015 regarding the Commercial Companies Law by adding articles that allow foreigners to establish companies and own them fully.

The balanced and outstanding performance of the Sharjah Chamber of Commerce and Industry (SCCI) has reflected the robustness and strength of the Sharjah economy and its ability to overcome global challenges and crises.

This is evident in the SCCI’s accomplished transactions in 2020, where the total number of new and renewed memberships reached 57,103, of which 4,320 new memberships and 2,128 free zone memberships, while the number of certificates of origin issued during the past year reached 71,961. Exports and imports in 2020 have amounted to nearly Dhs21.5 billion.

In 2020, the Chamber has achieved 100 per cent in the smart transformation of its services to meet the requirements of its members. This includes completing 141,596 digital transactions, developing a bunch of smart services to help members run their businesses without the need to visit the Chamber or its various branches, providing electronic attestation services for all transactions, and printing the certificates of origin from the companies’ offices, in addition to providing membership certificate printouts from four service centres in the Eastern Region “Tasheel” (Dhaid, Khor Fakkan and Kalba).

The Chamber has also made great strides in the 10th industrial zone infrastructure reconstruction project which is worth Dhs120 million, completing 60 percent of the infrastructure works for the first phase.