DUBAI, 17th March, 2025 (WAM) — As the Chairman of The Executive Council of Dubai, H.H. Sheikh Hamdan bin Mohammed bin Rashid Al Maktoum, who serves as the Crown Prince of Dubai, Deputy Prime Minister, and Minister of Defence, has issued Executive Council Resolution Number (11) for the year 2025. This resolution aims to regulate the functioning of enterprises located within the free zones across Dubai.
The provisions of this resolution pertain to entities aiming to function beyond the boundaries of the free zones, excluding those financial institutions authorized to work inside the Dubai International Financial Centre. These guidelines are consistent with the objectives of the Dubai Economic Agenda, D33, which aims to expand Dubai’s economy twofold over ten years leading up to 2033 and solidify its standing as one of the globe’s premier three economic hubs.
As per the resolution, companies or institutions authorized by a pertinent free zone entity have permission to function beyond the confines of their respective free zones and inside Dubai. This is provided they secure the required licenses or permissions from the Dubai Department of Economy and Tourism (DET).
The newest resolution represents a major step forward in improving the commercial environment, allowing companies within Free Zones to easily extend their activities from free zones into the broader territory of Dubai.
This effort syncs up with the city's bold D33 Agenda aimed at fostering an energetic commercial landscape under its forward-thinking guidance. The aim is to enhance the competitive edge of Dubai’s flourishing business community and boost operational efficiencies for both domestic and international enterprises. These goals receive additional backing from Dubai’s supportive atmosphere, marked by ongoing endeavors to streamline commerce within the emirate, uphold pro-business policies widely acknowledged as favorable, and currently offering Free Zone entities the capacity to effortlessly merge operations with those on the mainland.
The latest resolution underscores Dubai’s commitment to bolstering enterprises and stimulating expansion. It promotes heightened commercial engagement, employment opportunities, and inventive ideas, establishing the emirate as a focal point for commerce, finance, and enterprise. This advanced measure clearly communicates to international entrepreneurs that Dubai serves not only as an attractive locale for investments but also acts as a visionary collaborator dedicated to cultivating innovative aspirations and advancing enduring progress.
As per the resolution, businesses are required to comply with all relevant federal and local laws pertaining to their operations and keep distinct financial records for activities carried out outside the free zone, distinctly separated from those inside the free zone.
Furthermore, if these businesses intend to function beyond the boundaries of the Emirate of Dubai, they are obligated to obtain the necessary licenses and permissions from the pertinent regulatory bodies in the area where they aim to conduct their operations, adhering strictly to the local rules and guidelines.
According to the resolution, DET is authorized to grant an establishment the permission to operate outside the free zone and within the Emirate of Dubai by issuing a licence for establishing a branch within the emirate or issuing a licence for a branch with its headquarters in the free zone. These licences are valid for one year and can be renewed. Additionally, permits may be issued for specific activities within the emirate.
The resolution also outlines the requirements for licensing a branch within the emirate of Dubai or within any other free zone in Dubai. It also details the procedures for issuing activity permits and the conditions for employing the establishment’s workforce.
According to the resolution, DET, in coordination with the licensing authority, is required to issue a list of economic activities that establishments can conduct in Dubai within six months, depending on whether they hold a branch licence in the emirate, a branch with headquarters in the free zone, or a permit for specific activities.
Any establishment licensed to operate in the emirate under this resolution is subject to inspection according to relevant federal and local laws; in addition to the procedures agreed upon between the DET and the licensing authority.
All establishments operating outside the free zone and within the Emirate of Dubai when this resolution takes effect must comply with its provisions within one year from its effective date. If needed, the Director General of the DET may extend this period for an additional year.
This resolution annuls any other resolution that conflicts with it, and will be effective from the date of its publication in the Official Gazette.
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