Unified UAE Legislation Database

Dubai to allow free zone companies to operate in mainland

Status

In force

Issuing Authority

Effective date

XX.XX.XXXX

Official Link

https://

The Executive Council of Dubai has issued Desicion No. 11 of 2025 allows free zone companies to directly conduct business in the mainland. Previously, businesses established within a free zone were restricted from conducting operations outside their designated zone.

 

The provisions of the new Decision apply to free zone establishments wishing to conduct their activities outside the free zone, with the exception of financial establishments operating in the Dubai International Financial Centre (DIFC).

 

The key takeaways from the Decision are:

  • A free zone establishment may conduct its activities outside the free zone provided it obtains any of the licenses or permits specified in the Resolution.
  • An establishment authorized to conduct its activities outside the free zone must adhere to the controls stipulated in the federal and local legislation.
  • Such companies should prepare financial records separate from the financial records for its activities within the free zone.
  • The free zone companies covered by the scope of the new Decision may also continue to benefit from all the benefits of the particular free zone related to its ...