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

An onshore company, also known as a mainland company, is a business entity incorporated under the commercial laws of the country in which it physically operates. Unlike free zone or offshore structures, an onshore company can trade directly with the local market without restrictions, engage in government contracts, and establish a physical presence anywhere within the jurisdiction. Onshore companies are subject to the full scope of local commercial regulations and taxation.

UAE Context

In the UAE, an onshore company is registered with the Department of Economic Development (DED) of the emirate in which it will operate. Following the landmark 2020 amendment to the Commercial Companies Law (Federal Decree-Law No. 26 of 2020), foreign investors may now hold 100 percent ownership of onshore companies in most sectors, removing the longstanding requirement for a 51 percent UAE national sponsor. Certain strategic activities, such as oil and gas exploration and banking, still require Emirati majority ownership. Onshore companies must obtain a trade licence from the relevant DED and can operate freely across the UAE mainland.

Key Data

  • Registration authority: Department of Economic Development of each emirate
  • Ownership: Up to 100% foreign ownership in most sectors since 2020
  • Market access: Unrestricted trade across the entire UAE mainland
  • Legal forms: LLC, sole establishment, civil company, and others
  • Taxation: Subject to 9% corporate tax on profits exceeding AED 375,000

Significance for Vision 2031

The liberalisation of onshore company ownership is a central pillar of the UAE’s Vision 2031 economic strategy. By enabling full foreign ownership on the mainland, the UAE has dramatically expanded FDI opportunities, encouraged multinational companies to establish deeper operational roots, and created a more competitive business environment that supports diversification away from oil-dependent revenue.