Dubai: The United Arab Emirates government has told some of its largest business families that it plans to remove its monopoly on the sale of imported goods. financial Times Reported on Sunday.
The government did not immediately respond to Reuters requests for comment, but was quoted by state news agency WAM. Ministry of Economy The statement said a draft law on commercial agencies was still in its legislative cycle and “it is still too early to give details”.
The cabinet referred the draft to the Federal National Council for discussion and possibly more amendments, it added.
The FT report said the proposed law would eliminate the automatic renewal of existing commercial agency agreements in the Gulf state, giving foreign firms the opportunity to distribute their goods or replace their local agents.
“There is no longer any point in preferential access to such power and easy assets for individual families,” the report quoted an Emirati official as saying. “We have to modernize our economy.”
The report said the proposed law must be approved by the Emirati leadership and the timing for this remains uncertain.
in the past year United Arab EmiratesSaudi Arabia’s growing economic rival, Saudi Arabia, has taken measures to make its economy more attractive to foreign investors and talent.
Earlier this year, the United Arab Emirates said foreigners opening a company would no longer need an Emirati shareholder or agent, as it made changes to the UAE’s company law.
The government did not immediately respond to Reuters requests for comment, but was quoted by state news agency WAM. Ministry of Economy The statement said a draft law on commercial agencies was still in its legislative cycle and “it is still too early to give details”.
The cabinet referred the draft to the Federal National Council for discussion and possibly more amendments, it added.
The FT report said the proposed law would eliminate the automatic renewal of existing commercial agency agreements in the Gulf state, giving foreign firms the opportunity to distribute their goods or replace their local agents.
“There is no longer any point in preferential access to such power and easy assets for individual families,” the report quoted an Emirati official as saying. “We have to modernize our economy.”
The report said the proposed law must be approved by the Emirati leadership and the timing for this remains uncertain.
in the past year United Arab EmiratesSaudi Arabia’s growing economic rival, Saudi Arabia, has taken measures to make its economy more attractive to foreign investors and talent.
Earlier this year, the United Arab Emirates said foreigners opening a company would no longer need an Emirati shareholder or agent, as it made changes to the UAE’s company law.
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