6 Jan 2020
UAE: Dubai Multi Commodities Centre Introduces New Rules from January 2020
The Dubai Multi Commodities Centre (DMCC) has announced new rules that will come into effect from 2 January 2020.
The new regulations update the free zone’s existing company law framework and are intended to provide greater flexibility and ease of operations for businesses registered within the DMCC, as well as simplifying set-up procedures. Key enhancements to the framework include increased flexibility in terms of a company’s articles of association, the introduction of different share classes that allow businesses more flexibility in tailoring the structure of shareholdings, the introduction of a new dormant status, and new provisions for easier transfer of company incorporation into the DMCC.
Ahmad Hamza, Executive Director Free Zone, DMCC, said: “Ease of doing business is at the heart of DMCC’s offering. We enable all businesses to trade efficiently and with confidence. The new rules and regulations are indicative of our commitment to providing companies with a seamless ability to set up and grow their operations."
In recent weeks, the DMCC has been pushing to encourage more Chinese firms to set up in the zone. On 14 December, in collaboration with the Government of Dubai Authority and the Dubai Gold and Commodities Exchange, it hosted a networking event for Chinese businesses in Dubai with more than 100 leading representatives from the Dubai-based Chinese business community. Also in attendance were senior members and representatives from the China Council for the Promotion of International Trade and the China Business Council. The DMCC is already home to nearly 500 Chinese companies, accounting for more than 10% of all Chinese businesses registered in the UAE.
The DMCC is one of the world’s largest free trade zones, with more than 16,000 businesses registered in a wide range of industries and sectors, from agri-businesses, energy and financial services, to diamonds, gold and base metals.
Full details of the new rules and regulations are available on the DMCC website.