February 23, 2026
Methodology About Newsletter
WE THE UAE 2031
The Vanderbilt Terminal for the UAE's National Transformation
INDEPENDENT GLOBAL INTELLIGENCE FOR THE UNITED ARAB EMIRATES
UAE GDP: AED 2.03T ▲ 5.7% | Non-Oil GDP Share: 84.3% ▼ -5.2pp | FDI Inflows: $45.6B ▲ 48.7% | GDP Growth: 4.0% ▲ -0.3pp vs 2023 | Inflation: 1.7% ▼ +0.0pp vs 2023 | Female Participation: 55.1% ▲ +0.6pp vs 2023 | Population: 11.0M ▲ 4.8% | Emiratisation Rate: 12.5% ▲ 2.1pp | Global Competitiveness: #7 ▲ 3 places | Clean Energy Capacity: 7.2 GW ▲ 18.4% | ADX Index: 9,842 ▲ 4.7% | DFM Index: 4,621 ▲ 6.2% | UAE GDP: AED 2.03T ▲ 5.7% | Non-Oil GDP Share: 84.3% ▼ -5.2pp | FDI Inflows: $45.6B ▲ 48.7% | GDP Growth: 4.0% ▲ -0.3pp vs 2023 | Inflation: 1.7% ▼ +0.0pp vs 2023 | Female Participation: 55.1% ▲ +0.6pp vs 2023 | Population: 11.0M ▲ 4.8% | Emiratisation Rate: 12.5% ▲ 2.1pp | Global Competitiveness: #7 ▲ 3 places | Clean Energy Capacity: 7.2 GW ▲ 18.4% | ADX Index: 9,842 ▲ 4.7% | DFM Index: 4,621 ▲ 6.2% |

Definition

Dual licensing is a business structuring arrangement that allows a single entity to hold operating licences in two distinct regulatory jurisdictions simultaneously. In the context of the UAE, it specifically refers to the ability of a company to maintain both a free zone licence and a mainland (onshore) trade licence, enabling commercial activity across both environments without establishing two separate legal entities.

UAE Context

The UAE introduced dual licensing frameworks through agreements between individual free zone authorities and the Department of Economic Development (now Department of Economy and Tourism in Dubai) of the relevant emirate. Dubai was among the first to formalise the arrangement, allowing DMCC, JAFZA, and other free zone companies to obtain a mainland licence without a separate mainland company. Abu Dhabi followed with similar agreements linking its free zones to the Abu Dhabi Department of Economic Development. The arrangement typically requires the free zone entity to maintain an office or registered address on the mainland and comply with both sets of regulatory requirements.

Key Data

  • Primary benefit: Access to the local UAE market without a separate mainland entity
  • Participating free zones: DMCC, JAFZA, Dubai Airport Free Zone, twofour54, and others
  • Regulatory compliance: Dual-licensed entities must comply with both free zone and mainland regulations
  • Cost advantage: Lower than establishing two separate companies
  • Eligibility: Varies by free zone; typically requires an existing active free zone licence

Significance for Vision 2031

Dual licensing reduces friction for businesses seeking to serve both international and domestic markets from the UAE. By lowering structural complexity, the framework supports Vision 2031 goals of increasing ease of doing business, attracting foreign direct investment, and encouraging companies to expand their UAE operations across jurisdictional boundaries.

  • Free Zone — The designated economic areas where one of the two licences is issued
  • Onshore Company — The mainland entity type that dual licensing complements
  • Trade License — The commercial licence required under each jurisdiction