As part of the wider economic stimulus initiatives in the UAE, the Abu Dhabi Global Market (“ADGM”) has announced its business support measures for all ADGM registered entities. These initiatives aim to assist in not only safeguarding the health and safety of the ADGM community but also in mitigating the economic impact posed by the COVID-19 global outbreak and come into immediate effect with many of them lasting for up to 12 months.
Below we have set out the key aspects of the initiative and who will benefit from them.
All ADGM Registered Entities
Waiver of Commercial Licence, Business Activities and Data Protection Renewal Fee
The fees for renewing your commercial licence (including business activity and data protection fees) have been waived until 25 March 2021. If you renewed your license between 25-31 March 2020 you are entitled to a full refund.
Deferment of Office Rental and Service Charges in ADGM Square
Rental payments and service charges for all office tenants in the ADGM Square will be deferred until the end of the year.
Waiver of Temporary Work Permit Fee
To help facilitate the free movement of labour the fee for the application and renewal of ADGM Temporary Work Permits has been waived until 25 March 2021 as has the late application fees.
All ADGM FSRA Regulated Entities
Reduction of Supervision Fees for Financial Services Regulated Authority (FSRA) Regulated Firms
For entities regulated by the FSRA 50% of supervision fees that have been paid by existing authorised firms for the year 2020 will be refunded. Any new supervision fees payable on or before 31st December 2020 will be reduced by 50%.
Waiver or Refund of Annual Fees for Registered Funds
If you are a Fund Manager of a registered Domestic Fund in ADGM (Public, Exempt and QIF) the FSRA have waived the annual Fund fees until 31 December 2020. Any annual fees paid in relation to ADGM registered Funds during 2020 will be refunded.
In setting out these initiatives the ADGM, including the FSRA, acknowledges its strategic economic role and its social responsibility to support firms in these exceptional circumstances. As part of the ADGM community CCL will remain guided by its mission and commitment to provide support and expertise to new applicants and existing firms to help understand the evolving economic and regulatory landscape. We will continue to provide further updates for any additional initiatives that are announced.
If you have any questions regarding this update, or if you are looking for guidance on doing business in the ADGM, contact our consultancy team.