Sheikh Hamdan bin Mohammed Streamlines Business Operations with New Free Zone Resolution
In a move aimed at enhancing Dubai’s business landscape and fostering economic growth, His Highness Sheikh Hamdan bin Mohammed bin Rashid Al Maktoum, Crown Prince of Dubai, Deputy Prime Minister and Minister of Defence of the UAE, issued Executive Council Resolution No. (11) of 2025.This resolution introduces new regulations governing the operations of free zone establishments outside their designated areas.
Key Provisions of the Resolution:
- Expanded Operational Flexibility: The resolution allows companies and institutions licensed by free zone authorities to operate outside their designated zones within the Emirate of Dubai. This strategic move aims to break down barriers and promote greater integration between free zones and the mainland economy.
- Streamlined Procedures: Free zone businesses seeking to expand their operations beyond their designated zones will need to obtain necessary licenses or permits from the Dubai Department of Economy and Tourism (DET). This streamlined process will facilitate business expansion and enhance ease of doing business in Dubai.
- Enhanced Compliance: The resolution emphasizes the importance of adhering to applicable federal and local regulations. Businesses are required to maintain separate financial records for their operations conducted outside the free zone.
- Alignment with D33 Economic Agenda: This initiative aligns with Dubai’s ambitious D33 Economic Agenda, which aims to double the size of Dubai’s economy by 2033.By creating a more dynamic business environment, the resolution supports the D33 Agenda’s objectives of fostering economic growth, attracting investment, and promoting Dubai as a global hub for business and innovation.
Impact of the Resolution:
This new resolution is expected to have a significant impact on Dubai’s business landscape. By allowing free zone businesses to expand their operations into mainland Dubai, the resolution will:
- Promote Economic Integration: Bridge the gap between free zones and the mainland economy, fostering greater collaboration and economic synergy.
- Stimulate Business Growth: Enable businesses to reach new markets and expand their customer base, leading to increased revenue and job creation.
- Enhance Dubai’s Competitiveness: Position Dubai as a more attractive destination for businesses and investors by offering greater operational flexibility and ease of doing business.
This resolution demonstrates Dubai’s commitment to creating a business-friendly environment that supports innovation, growth, and economic prosperity. By empowering free zone businesses to expand their operations, Dubai continues to solidify its position as a leading global business hub.