Draft legislation has been published for open market consultation with regards to Abu Dhabi Global Market (ADGM), the new international finance centre in the United Arab Emirates. This legislation has already been subject to a pre-open market consultation in which the opinions of sixteen major international financial and industry bodies were sought.
This financial centre is located on Al Maryah Island in the heart of Abu Dhabi the largest emirate in the United Arab Emirates. ADGM will have its own civil and commercial legal regime which is based on and incorporates aspects of English law and will be independent of the existing legal regime in Abu Dhabi including having its own registrar, regulator and court system, although Federal criminal laws will still apply.
As well as intending to be a business friendly environment with international best practice standards there are a number of benefits expected from this jurisdiction including exemption from taxes guaranteed for fifty years, relaxed rules on the repatriation of profits and an allowance for 100 percent foreign ownership.
It is expected that the first licence applications will be received later this year.
