The UAE government has allowed foreigners to have full ownership of their businesses in many industries across Ras Al Khaimah. Foreigners will now be able to own businesses without having to obtain sponsorship from a UAE citizen. This means that expatriates will register the business licenses in their own name instead of those of the sponsors. However, the expatriate business investor will need a service agent who has to be a UAE national. The name of the service agent will be given at the bottom of the commercial license but s/he will not be responsible for any legality involved. While most of the sectors will execute this regulation, eighteen of them still require the sponsorship of an Emirate citizen.
The new system will boost the economy of Ras Al Khaimah and also give a spur to the number of business projects in the region. Since 2000, the emirate has been having a free trade zone and around 1,430 companies are functional in the region.
The move, which will be implemented from 1st September, is aimed at drawing more foreign investors to the Ras Al Khaimah business sector. It is seen as part of an economic liberalization drive in the emirate.
