UAE Financial Free Zones
In the United Arabi Emirates, there are two (2) Financial Jurisdictions – Dubai International Financial Center (DIFC) and Abu Dhabi Global Market (ADGM). Each applying a similar framework, hosting its own independent courts, governed by English Common Law, and regulated and non- regulated activities. Each jurisdiction is largely used for the purpose of succession and legacy planning due to the licensing types available, making ADGM and DIFC a great home to incorporate a business for operating or for holding purposes.
About ADGM
Abu Dhabi Global Market (“ADGM”) is established pursuant to Abu Dhabi Law No. 4 of 2013 as a financial Free Zone in the Emirate of Abu Dhabi, with its own civil and commercial laws ADGM offers market participants a world‐class legal system and regulatory regime following English Common Law with its own independent Courts system. In addition to this, ADGM also consists of two (2) other authorities, the Registration Authority (RA) and Financial Services Regulatory Authority (FSRA)
ADGM provides a wide spectrum of services covering Banking, Insurance, Wealth Management, Asset Management and Capital Market activities.
Furthermore, ADGM is one of few jurisdictions in the UAE which offer legacy planning solutions by the use of a Foundation, as well as Special Purpose Vehicle, for risk fencing assets and operational companies financial and non- financial businesses.
Types of Licenses:
Professional services
Retail business
Regulated / non-regulated business
Proprietary investment
Holding / regional headquarters
About DIFC
The DIFC is a Financial Free Zone pursuant to Federal Law No.8 of 2004.
DIFC has its own set of civil and commercial laws and regulations and has developed a complete code of law governing financial services regulation. As part of its autonomy, DIFC has created an independent judicial system. The DIFC Courts is the entity responsible for the independent administration and enforcement of justice in DIFC. The Courts have exclusive jurisdiction over all civil and commercial disputes arising within DIFC and or relating to bodies and companies registered in DIFC.
Within DIFC, subsidiaries and incorporated entities enjoy 100% ownership as well as a world-class regulatory environment that allows for a range of options for structuring legal entities.
Types of Licenses:
Professional services
Retail business
Regulated / non-regulated business
Proprietary investment
Holding / regional headquarters
Lastly, DIFC provides a 40-year guarantee of zero taxes on corporate income and profits, enhanced by the UAE’s wide network of double taxation avoidance treaties with regulators and central banks.
