PROVISIONS OF CABINET RES NO. (55) OF 2021 REGARDING DETERMINING THE LIST OF ACTIVITIES WITH STRATEGIC IMPACT
On May 30, 2021, the Council of Ministers issued Resolution No. (55) for the year 2021 regarding defining the list of activities with strategic impact.
The provisions of this resolution shall be effective from 01/06/2021, and this resolution, pursuant to Article (4) thereof, obligates all companies that are licensed to engage in any activity of strategic impact with all legislation applicable in the state.
The first article of the same resolution defines the list of activities with strategic impact is the list that includes the activities that are subject to the necessary controls to licensed companies that engage in any of those activities in accordance with the requirements and conditions of the regulatory authorities.
* The same article one of the resolution defines the foreign investor as a natural or legal person who does not hold the nationality of the state and who invests in the state.
* The first cluse of Article (2) of the same resolution indicated the list of activities with strategic impact and the controls for licensing companies that engage in any of these activities and the organizing authority for them, which is the federal entity concerned with regulating the activity with strategic impact, and those activities are as follows :
Security and defense activities and activities of a military nature where they are subject to the approval and requirements of the Ministry of Defense or the Ministry of Interior in terms of determining the percentage of citizens’ contribution and/or the percentage of foreign investor’s contribution to the company’s capital or to membership in the boards of directors (if any).
Banks, money exchange shops, finance companies, insurance activities, and printing currencies for cash. These activities are subject to the approval and requirements of the Central Bank of the United Arab Emirates, in terms of determining the percentage of citizens’ contribution and/or the percentage of foreign investors’ contribution to the company’s capital or to membership of boards Administration (if any).
Telecommunications, where this activity is subject to the approval and requirements of the Telecommunications Regulatory Authority And The Digital Government, in terms of determining the percentage of citizens’ contribution and/or the percentage of foreign investors’ contribution to the company’s capital or to membership in the boards of directors (if any).
Hajj and Umrah services and centers for memorizing the holy Qur’an. These activities are subject to the approval and requirements of the General Authority for Islamic Affairs and Endowments, in terms of determining the percentage of citizens’ contribution and/or the percentage of the foreign investor’s contribution to the company’s capital or membership in the boards of directors (if any).
The second paragraph of Article (2) of the same resolution indicated activities with a specific strategic impact, the percentage of citizens’ contribution to them only, which are services related to the field of fisheries, and the percentage of citizens’ contribution to this activity is 100%.