A new resolution aimed at promoting investments has made it possible for businesses in free zones to create branches and expand in mainland Dubai after obtaining a license from the Department of Economy and Tourism. Each year, the new branches’ licenses will need to be renewed. Establishments may also apply for permissions for particular operations both inside the emirate and outside the free zone.
Sheikh Hamdan bin Mohammed bin Rashid Al Maktoum, the Crown Prince of Dubai and the UAE’s Deputy Prime Minister and Minister of Defense, issued Executive Council Resolution No. (11) of 2025, which governs the activities of free zone establishments in Dubai. Financial institutions accredited by the Dubai International Financial Center (DIFC) are exempt from the resolution.
Establishments operating outside the free zone are required under the resolution to keep distinct financial records. The requirements for licensing a branch in Dubai or any other free zone in Dubai are also described in the resolution. It also outlines the requirements for hiring the establishment’s employees and the processes for granting activity permits.
The resolution states that within six months, DET, in collaboration with the licensing authority, must provide a list of economic activities that establishments are permitted to carry out in Dubai, contingent on whether they possess a permit for particular activities, a branch license in the emirate, or a branch with headquarters in the free zone.
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