Dubai has taken another major step toward enhancing its business landscape with the issuance of Executive Council Resolution No. (11) of 2025 by His Highness Sheikh Hamdan bin Mohammed bin Rashid Al Maktoum, Crown Prince of Dubai, Deputy Prime Minister and Minister of Defence of the UAE and Chairman of The Executive Council of Dubai.
The resolution allows free zone establishments to operate outside their designated zones, on mainland Dubai, provided they obtain the necessary licenses or permits from the Dubai Department of Economy and Tourism (DET).
This change aligns with the Dubai Economic Agenda D33, which aims to double the size of Dubai’s economy by 2033 and position the emirate among the world's top three economic cities.
What Businesses Need To Know
- License requirements: Free zone companies can now expand into mainland Dubai, provided they secure the appropriate business licenses from DET.
- Operational guidelines: Companies must maintain separate financial records for mainland and free zone operations.
- Compliance and regulations: Businesses must adhere to federal and local laws when operating outside free zones.
- Activity permits: A list of approved economic activities for free zone businesses will be released by DET within six months.
- License validity and renewal: Branch licenses issued under this resolution will be valid for one year and can be renewed annually.
All existing free zone companies operating outside their designated areas must comply with the new resolution within a year. The DET may grant an extension for an additional year if needed.
This initiative is expected to encourage more business activity and attract more investors, streamline business expansion for companies looking to operate between free zones and mainland Dubai and also support job creation.