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UNITED ARAB EMIRATES

Since June 2021
Since March 2023

Pillar Foreign Direct Investment (FDI) in sectors relevant to digital trade  |  Indicator Screening of investment and acquisitions
Cabinet Resolution No. 55 of 2021 Determining the List of Activities with a Strategic Impact
قرار مجلس الوزراء رقم (55) لسنة 2021 في شأن تحديد قائمة الأنشطة ذات الأثر الاستراتيجي

Resolution No. 9 of 2023 on Approval of License Regulation
قرار رقم 9 لسنة 2023 بشأن اعتماد تنظيم الترخيص
In accordance with Art. 3 of the Council of Ministers Resolution No. 55 of 2021, foreign investors seeking to participate in any of the strategic activities listed in Art. 2, including the telecommunications sector, are required to submit a licence application to the competent authority. For the telecommunications sector, the Public Authority for the Regulation of the Telecommunications Sector and Digital Government must approve the FDI licence applications and determine: (i) the proportion of national and/or foreign participation in the company’s capital; and (ii) where applicable, the proportion of national and/or foreign representation on the board of directors.
Moreover, according to Art. 12 of the Resolution No. 9 of 2023, an entity is eligible to apply for a licence if is incorporated under the Commercial Companies Law, and foreign shareholding does not exceed 49%, with the remaining 51% held by one or more national citizen partners, unless otherwise approved by the board of directors of the Telecommunications and Digital Government Regulatory Authority (TDRA).
Moreover, according to Art. 2.6 of the Resolution No. 9 of 2023, the number and scope of any licences shall be determined by the Board, and may be restricted depending on:
- The level and state of competition in the telecommunications sector in the State; or
- The availability of the scarce resources (e.g. spectrum and numbers); or
- The implementation of any technical restrictions to regulate the use of scarce resources; or
- Any other reason determined by the board of directors of the Telecommunications and Digital Government Regulatory Authority (TDRA).
Under Art. 8 further states that a licence may be revoked if a competent authority determines that is in the national interest to do so.
Coverage Telecommunications sector

UNITED ARAB EMIRATES

N/A

Pillar Telecom infrastructure & competition  |  Indicator Signature of the WTO Telecom Reference Paper
Lack of appendment of WTO Telecom Reference Paper to schedule of commitments
The United Arab Emirates has not appended the World Trade Organization (WTO) Telecom Reference Paper to its schedule of commitments.
Coverage Telecommunications sector

UNITED ARAB EMIRATES

Since November 2003, entry into force in February 2005

Pillar Telecom infrastructure & competition  |  Indicator Presence of an independent telecom authority
Federal Law by Decree No. 3 of 2003 regarding the Organisation of the Telecommunications Sector
مرسوم بقانون اتحادي رقم 3 لسنة 2003 وتعديلاته بشأن تنظيم قطاع الاتصالات
Art. 6 of the Federal Decree-Law No. 3 of 2003 establishes the Telecommunications and Digital Government Regulatory Authority (TDRA) as an independent regulatory body. The Authority is vested with a distinct legal personality and full capacity to perform legal acts under the Decree-Law and its implementing regulations, including the ability to contract, acquire and lease property, and initiate legal proceedings. According to Art. 7, the authority has financial and administrative independence in the management of its affairs, thereby ensuring autonomy in the exercise of its regulatory functions.
Coverage Telecommunications sector

UNITED ARAB EMIRATES

Since February 2021

Pillar Cross-border data policies  |  Indicator Ban to transfer and local processing requirement
Consumer Protection Standards
معايير حماية المستهلك
Art. 6.1.6.3 of the Consumer Protection Standards stipulates that all licensed financial institutions, including banks and other regulated entities, are required to retain and store all consumer and transaction data within the United Arab Emirates, in accordance with the directives issued by the Central Bank. In addition, as a minimum requirement, such institutions must establish a secure and reliable backup of all consumer data and transactional records at an alternative location, ensuring compliance with the retention period prescribed under Art. 6.1.6.
Coverage Financial sector

UNITED ARAB EMIRATES

Reported in 2022, last reported in 2024

Pillar Intellectual Property Rights (IPRs)  |  Indicator Enforcement of copyright online
Lack of adequate enforcement of copyright online
It is reported that, despite notable progress in recent years in strengthening its intellectual property framework, the United Arab Emirates continues to face challenges in enforcing effective measures against online piracy. Rights holders have reported ongoing concerns, particularly urging the Telecommunication and Digital Regulatory Authority to cooperate with domain name registrars and other intermediaries to adopt stronger anti-infringement mechanisms. They have also called for enhanced action by customs authorities to prevent the importation of illegal decoders, as well as for additional restrictions on unauthorised free or subscription-based services that unlawfully retransmit television channels carrying copyright-protected content.
Coverage Horizontal

UNITED ARAB EMIRATES

Since April 2005, entry into force in July 2005

Pillar Intellectual Property Rights (IPRs)  |  Indicator Adoption of the WIPO Copyright Treaty
WIPO Copyright Treaty
The United Arab Emirates has ratified the World Intellectual Property Organization (WIPO) Copyright Treaty.
Coverage Horizontal

UNITED ARAB EMIRATES

Since March 2005, entry into force in June 2005

Pillar Intellectual Property Rights (IPRs)  |  Indicator Adoption of the WIPO Performances and Phonograms Treaty
WIPO Performances and Phonograms Treaty
The United Arab Emirates has ratified the World Intellectual Property Organization (WIPO) Performances and Phonograms Treaty.
Coverage Horizontal

UNITED ARAB EMIRATES

N/A

Pillar Intellectual Property Rights (IPRs)  |  Indicator Effective protection covering trade secrets
Lack of comprehensive regulatory framework covering trade secrets
The United Arab Emirates lacks a comprehensive framework in place that provides effective protection of trade secrets, but there are limited measures addressing some issues related to them. Part 6 of the Federal Decree-Law No. 11 of 2021 is the primary instrument covering “undisclosed information” as a form of industrial property. It defines what constitutes undisclosed information and specifies the scope of protection, but does not provide penalties or remedies for infringement. Complementary provisions are included in the Federal Decree-Law No. 50 of 2022 (Commercial Transactions Law), which grants civil protection through unfair competition rules, including prohibitions on inducing employees to disclose a competitor’s trade secrets, with liability for damages in case of breach. In addition, the Federal Decree-Law No. 31 of 2021 (Crimes and Penalties Law) criminalises the unauthorised disclosure of secrets obtained in the course of professional duties.
Coverage Horizontal

UNITED ARAB EMIRATES

Since November 2003
Since February 2006

Pillar Telecom infrastructure & competition  |  Indicator Passive infrastructure sharing obligation
Federal Law by Decree No. 3 of 2003 regarding the Organisation of the Telecommunications Sector
مرسوم بقانون اتحادي رقم 3 لسنة 2003 وتعديلاته بشأن تنظيم قطاع الاتصالات

Interconnection Instructions
The country imposes a requirement for infrastructure sharing in order to facilitate the provision of telecommunications services to end-users. Pursuant to Art. 41 of Federal Law by Decree No. 3 of 2003 regarding the Organisation of the Telecommunications Sector, Etisalat (one of the two telecom operators currently licensed to operate in the country) and its affiliated entities are required, upon request by the competent Authority, to provide connection to licensees seeking shared access to telecommunications infrastructure in a prompt, efficient, and cost-effective manner.
In addition, under Art. 14, the Telecommunications and Digital Government Regulatory Authority (TDRA) is vested with the authority to promulgate regulations, directives, decisions, and procedures governing the sharing of infrastructure among licensees, including the determination of terms, conditions, and pricing for such arrangements. The Interconnection Instructions impose obligations on licensed operators to enable passive infrastructure sharing. Sections 3.11-3.13 require operators to provide site sharing services, covering the joint use of mobile network sites such as towers, feeders, and associated rooms, and facility sharing services, which include passive elements like ducts, conduits, rights-of-way, poles, cabling, and power supply, supported by service level agreements to ensure operational reliability. Infrastructure sharing is also mandated under the prevailing regulatory framework. Complementing these requirements, Sections 4.6-4.8 establish procedural obligations for planning, forecasting, ordering, and maintaining shared sites, facilities, and infrastructure, ensuring that sharing arrangements are implemented systematically and in compliance with technical, environmental, and security standards.
Coverage Telecommunications sector

UNITED ARAB EMIRATES

Since November 2024, entry into force in May 2025
Since July 2021

Pillar Public procurement of ICT goods and online services  |  Indicator Other limitations on foreign participation in public procurement
Cabinet Resolution No. 122 of 2024 on Executive Regulation of Federal Law No. 11 of 2023 on Procurement in the Federal Government
قرار مجلس الوزراء رقم (122) لسنة 2024 بشأن اللائحة التنفيذية للقانون الاتحادي رقم (11) لسنة 2023 بشـأن المشتريات في الحكومة الاتحادية

Cabinet Resolution No. 72 of 2021 Regarding the National Content Program
قرار مجلس الوزراء رقم (72) لسنة 2021 في شأن برنامج المحتوى الوطني
According to Art. 28 of Cabinet Resolution No. 122 of 2024 on the Executive Regulation of Federal Law No. (11) of 2023 on Procurement in the Federal Government, bid evaluation criteria include consideration of the value generated under the National In-Country Value (ICV) Programme.
The ICV framework is defined in Cabinet Resolution No. 72 of 2021 Regarding the National Content Program. Arts. 2–3 of this Resolution provide that the Programme applies to all procurement procedures and categories, including supply contracts and service execution by federal entities. The percentage of national content value is calculated on the basis of several criteria, including (i) spending on hiring, qualifying, and developing national human capabilities; (ii) investment in advanced technology, research, and development; and (iii) spending on job schedules existing in the State.
Coverage Horizontal

UNITED ARAB EMIRATES

Reported in 2022, last reported in 2024

Pillar Public procurement of ICT goods and online services  |  Indicator Other limitations on foreign participation in public procurement
Gulf Cooperation Council (GCC) Product Preference Margin
It is reported that, under the Gulf Cooperation Council (GCC) Unified Rules on Granting Priority in Government Procurements to National Products and Products of National Origin (1987), a 10% price preference is granted to products originating in other GCC member states over foreign products. Where the adjusted price of a foreign product equals or exceeds that of a national product, preference is given to the national product.
Coverage Horizontal

UNITED ARAB EMIRATES

Reported in 2022, last reported in 2024

Pillar Public procurement of ICT goods and online services  |  Indicator Other limitations on foreign participation in public procurement
Lack of transparency in tenders
Lack of transparency in government tenders is reportedly a persistent concern among foreign stakeholders. In particular, foreign companies have highlighted deficiencies in the transparency of procurement procedures, along with difficulties related to delayed payments and the complexity of administrative requirements for obtaining remuneration.
Coverage Horizontal

UNITED ARAB EMIRATES

N/A

Pillar Public procurement of ICT goods and online services  |  Indicator Signatory of the WTO Agreement on Government Procurement (GPA) with coverage of the most relevant services sectors (CPC 752, 754, 84)
Lack of participation in the WTO Agreement on Government Procurement (GPA)
The United Arab Emirates is not a party to the World Trade Organization (WTO) Agreement on Government Procurement (GPA).
Coverage Horizontal

UNITED ARAB EMIRATES

Since March 1991, last amended in July 2021
Since June 2021

Pillar Foreign Direct Investment (FDI) in sectors relevant to digital trade  |  Indicator Maximum foreign equity share
Federal Law No. 1 of 24 March 1991 concerning the Emirates Telecommunications Corporation
انون اتحادي رقم (1) لسنة 1991 في شأن مؤسسة الإمارات للاتصالات

Cabinet Resolution No. 55 of 2021 Determining the List of Activities with a Strategic Impact
قرار مجلس الوزراء رقم (55) لسنة 2021 في شأن تحديد قائمة الأنشطة ذات الأثر الاستراتيجي
Although the United Arab Emirates does not impose a uniform limit on foreign participation in the telecommunications sector, such participation remains subject to specific restrictions. The government limits foreign ownership in publicly listed companies within the sector and applies a screening regime that determines, on a case-by-case basis, the permissible proportion of foreign participation in telecommunications companies. Currently, only two public companies (Etisalat and "du") are licensed to provide public telecommunications services in the United Arab Emirates, and foreign ownership in these companies is effectively absent.
Art. 7 of the Federal Law No. 1 of 24 March 1991 Concerning the Emirates Telecommunications Corporation authorises foreign ownership of up to 49% in the Emirates Telecommunications Corporation (Etisalat), the former incumbent operator. Similarly, since 23 February 2021, non-UAE nationals are permitted to hold up to 49% of the share capital in Emirates Integrated Telecommunications Company ("du").
Moreover, as telecommunications activities are classified as “activities with a strategic impact,” additional restrictions on foreign ownership can be imposed. Pursuant to Art. 3 of the Council of Ministers Resolution No. 55 of 2021, foreign investors seeking to engage in any of the strategic activities listed in Art. 2 must submit a licence application to the competent authority. In the telecommunications sector, the Telecommunications and Digital Government Regulatory Authority (TDRA) is responsible for approving foreign direct investment licence applications and determining the permissible proportion of foreign participation in a company’s capital. The TDRA has reportedly indicated that it is not considering the issuance of new licences at this time.
Coverage Telecommunications sector

UNITED ARAB EMIRATES

Since June 2021

Pillar Foreign Direct Investment (FDI) in sectors relevant to digital trade  |  Indicator Screening of investment and acquisitions
Cabinet Resolution No. 55 of 2021 Determining the List of Activities with a Strategic Impact
قرار مجلس الوزراء رقم (55) لسنة 2021 في شأن تحديد قائمة الأنشطة ذات الأثر الاستراتيجي
In accordance with Art. 3 of the Council of Ministers Resolution No. (55) of 2021, foreign investors seeking to participate in any of the strategic activities listed in Art. 2, including the telecommunications sector, are required to submit a licence application to the competent authority. For the telecommunications sector, the Public Authority for the Regulation of the Telecommunications Sector and Digital Government must approve the FDI licence applications and determine: (i) the proportion of national and/or foreign participation in the company’s capital; and (ii) where applicable, the proportion of national and/or foreign representation on the board of directors.
Coverage Telecommunications sector

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