The United Arab Emirates (UAE) has revised the minimum age requirement to run a business. As per the amended law, the new age limit is 18 years. Earlier, the age limit was set at 21. The amendment, which is aligned with international regulations, will give more opportunities to youngsters.
- The new law supports Islamic banking and establishes it as one of the main drivers of growth.
- Banking institutions should follow a legal reference for commercial transactions to support businesses.
- It is mandatory to obtain licenses as per the regulation and establishment of financial markets.
- It also offers support to tech businesses and commercial activities linked to digital fields.
Guidelines related to the amendments were published in October 2022. It has now become a law. Earlier, those who were aged between 18 and 21 were supposed to register the business under a legal guardian as a ‘temporary owner.’ Shares could be transferred once the individual reached the legal age. This procedure is not needed now.
According to industry experts, this would give youngsters hands-on experience in business, which is a prerequisite in the field. Lately, UAE has positioned itself as a hub of business. The amendment will surely boost this position.
