News developments Archives - Page 39 of 223

Sharjah: SEDD Implements Executive Council Decision on Registering Family Businesses

27/11/202427/11/2024
by Hannah Gutang

Sharjah Economic Development Department (SEDD) began to implement the Sharjah Executive Council decision regarding the registration of family businesses in the emirate.

This aims to develop the family business system in Sharjah in accordance with the best global practices that go with the provisions of Sharjah Executive Council Decision No. 31/2024 regarding the regulation of family companies in the Emirate of Sharjah.

The SEDD Chairman has stressed that Sharjah is working continuously to develop a legislative and regulatory environment to enhance the growth of family businesses and support their continuity and sustainability over the coming decades, in accordance with the best international practices.

He has added that such thing is important because family businesses represent a basic and significant element in enhancing the growth of the emirate’s economy and supporting its competitiveness regionally and globally.

Also, he has pointed out that in continuation of the national efforts to provide an ideal work environment for family businesses and encourage them to grow and prosper, a number of family businesses have been registered in the Companies Register.

SEDD Director has stated that the decision specified the scope of its provisions to be applied to family companies established in the emirate, existing companies owned by owners from one family, branches of family companies from the emirates, and family companies established in free zones, in a manner that does not conflict with the laws and regulations of the free zones.

According to the decision, the company shall have an incorporation contract in accordance with the provisions mentioned in the Companies Law.

The decision has also included articles regulating the ownership of the family company, the partner’s shares disposition and valuation, the categories of shares, the family endowment company, in addition to the family charter, dispute settlement, dissolution and liquidation of the company, executive decisions, implementation and validity.

Furthermore, the document that regulates the governance of family affairs related to the Family Business, and the family relationship with the family business, in accordance with Sharjah Executive Council Decision No. 31/2024 regarding the regulation of family companies in Sharjah.

This charter includes the rules for family ownership, goals and values, mechanisms for evaluating shares and methods for distributing profits.

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UAE: Private firms Reminded To Meet Emiratisation Targets By Year End

22/11/202422/11/2024
by Hannah Gutang

Khaleej Times, 19 November 2024: Authorities in the UAE have reminded private sector companies to meet their 2024 Emiratisation targets by the end of December.

Non-compliant firms will face hefty fines starting from 1 January 2025.

Emiratisation policies apply to establishments with 50 or more workers, requiring them to increase the number of Emirati employees in skilled positions by 2% by the end of the year.

Failure to comply will result in a fine of Dh96,000 for each Emirati not hired.

Additionally, a select group of establishments employing 20 to 49 workers across 14 specified economic activities are also subject to Emiratisation policies.

These establishments must employ at least one Emirati and retain any nationals employed prior to 1 January 2024.

Non-compliance will also lead to a Dh96,000 fine for each Emirati not hired.

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Saudi Arabia: SAMA Issues Rules for Opening Electronic Wallets

22/11/202422/11/2024
by Hannah Gutang

The Saudi Central Bank (SAMA) has issued the final version of “E-Wallet Rules” as part of its supervisory and regulatory role over Electronic Money Institutions (EMIs).

The rules included provisions and obligations related to opening electronic wallets, verification of clients’ identities, and considerations for classifying and managing inactive wallets.

The rules set the relevant regulatory requirements that licensed EMIs must comply with to protect market participants and support EMIs in providing services that increase the sector’s safety and stability.

The SAMA’s decision reflects its continuous efforts to develop the financial sector and empower EMIs.

SAMA had already published the E-Wallet Rules, seeking comments and feedback from the public and experts, to achieve transparency and public participation.

The comments and feedback were studied and taken into consideration in the final version of the rules.

More details of the rules can be had from SAMA’s website at: https://www.sama.gov.sa/en-us/rulesinstructions/pages/regulation.aspx.

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Sharjah: SCC Discusses Developments of Sharjah Ports Customs and Free Zones Authority

22/11/202422/11/2024
by Hannah Gutang

The Sharjah Consultative Council (SCC) continued its third session of the second ordinary meeting in its eleventh legislative term to discuss the policies of the Sharjah Ports, Customs, and Free Zones Authority (SPCFZA).

A Member of Sharjah’s Executive Council and Chairman of SPCFZA has highlighted the authority’s role in supporting the tourism and commercial sectors, aligning its strategies with federal and local visions.

He has emphasised initiatives like digitising services and using AI to streamline operations, enhance sustainability, and foster community engagement.

Members have raised concerns on emiratising jobs in free zones, boosting customs efficiency, and developing specialised zones for food security.

Proposals included leveraging technology like AI for customs processes, promoting sustainable energy in free zones, and enhancing partnerships with educational institutions to align academic outcomes with market needs.

The session concluded with the SPCFZA reiterating its commitment to advancing Sharjah’s investment environment and supporting the national economy through modern infrastructure and digital transformation.

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Qatar: Shura Discusses Draft Law to Regulate Travel and Air Freight Offices

22/11/202422/11/2024
by Hannah Gutang

Qatar Tribune, 19 November 2024: During the session, the council had discussed a draft law to regulate travel and air freight offices, which was referred to the Health, General Services and the Environment Committee for further review and submission of a report.

Additionally, the council endorsed a bill amending some provisions of Qatar Law No. 15/2011 , on combating human trafficking, following the review of the report by the Committee on Internal and External Affairs and discussion of the provisions of the draft law by the esteemed members.

The council has also discussed reports on the participation of its delegations in several regional and international parliamentary events.

The meeting focused on strengthening Gulf unity, enhancing joint parliamentary action, and serving the interests of GCC states and their citizens.

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Oman: Health Ministry Launches Health Institutions Accreditation System

22/11/202422/11/2024
by Hannah Gutang

Times of Oman, 17 November 2024: The Health Ministry has marked the launch of the Omani System for Accreditation of Health Institutions (OSAHI), which will be applied to all government, civil, military and private health institutions.

OSAHI, recognised by the International Society for Quality in Health Care (ISQua), aims to develop healthcare service procedures and improve quality.

The new system seeks to help health institutions in Oman meet their obligations by upgrading the quality of healthcare.

The system was established to be compatible with local reality, aligned with international regulations for the next stage of domestic growth.

Besides catering to the needs of patients, the system also ensures the safety of healthcare workers.

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Kuwait: Communications Ministry To Block Transactions for Debt Defaulters

22/11/202422/11/2024
by Hannah Gutang

Arab Times, 18 November 2024: The Kuwaiti Communications Ministry has announced its ongoing efforts to collect outstanding financial dues for services provided to subscribers.

The ministry has emphasised that it is coordinating with state institutions to restrict transactions of individuals and companies who are in arrears until their debts are fully settled.

The ministry has confirmed that the ban on transactions would remain in effect until all outstanding payments for its services have been cleared.

Over the past few days, the ministry has sent notifications to subscribers via the government application ‘Sahel’, urging them to promptly settle their financial obligations.

The ministry has also stated that an automated disconnection program will be activated in early December 2024.

This program will target both residential and commercial accounts with unpaid dues.

A second notification will be sent through the ‘Sahel’ application in the coming days, informing subscribers of the exact amounts owed.

Subscribers are urged to pay their dues promptly to ensure uninterrupted services and to avoid being included in the disconnection program or facing restrictions on government transactions.

Payments can be made through the ministry’s official website or at regional service centers using the K-Net payment service.

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Dubai: Tightening Compliance for Virtual Asset Service Providers

22/11/202422/11/2024
by Hannah Gutang

Dubai’s Virtual Assets Regulatory Authority (VARA) has tightened compliance measures for Virtual Asset Service Providers (VASPs) operating in the UAE.

The regulatory body has issued a circular emphasising the need for VASPs to align with updated Anti-Money Laundering (AML) regulations, particularly concerning high-risk jurisdictions identified by the Financial Action Task Force (FATF).

VARA is urging all VASPs to comply with mandatory rulebooks, notably the Compliance and Risk Management Rulebook, as part of its ongoing effort to ensure market stability and maintain financial integrity within the virtual assets sector.

VASPs are required to prioritise strict compliance with AML and Combating the Financing of Terrorism (CFT) regulations.

This includes implementing Enhanced Due Diligence (EDD) for transactions involving jurisdictions flagged as high-risk by the FATF, and regularly verifying lists and updates from both the FATF and the UAE’s National Anti-Money Laundering and Combating the Financing of Terrorism and Illegal Organisations Committee.

The circular underlines the FATF’s call for increased scrutiny on jurisdictions with significant deficiencies in addressing money laundering (ML), terrorism financing (TF), and proliferation financing (PF).

This involves applying targeted financial sanctions and implementing counter-measures to protect the UAE’s financial sector. Supervisory authorities in the UAE, including VARA, are empowered to take legal action against VASPs and their senior management for failing to comply with these regulatory requirements, which could include fines, cease and desist orders, and potential criminal charges.

In October 2024, VARA intensified its enforcement program, issuing cease and desist orders along with fines to seven entities operating without the required licences.

This step aligns with VARA’s mission to protect the public from unregulated firms and uphold high standards of market conduct.

Additionally, the UAE’s Executive Office of Anti-Money Laundering and Counter Terrorism Financing (EO AML/CTF) has begun implementing over 100 recommendations from the National Risk Assessment (NRA) to mitigate risks in vulnerable sectors, especially those involving virtual assets.

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Bahrain: Parliament Calls for Regulation of Private Hospitals

22/11/202422/11/2024
by Hannah Gutang

The Daily Tribune, 13 November 2024: The Parliament has called on Bahrain’s health regulator to address high fees at private hospitals accusing some of creating a “false image” of quality by inflating costs – a step towards fairer healthcare for all.

The proposal has urged the National Health Regulatory Authority (NHRA) to step in and monitor private healthcare fees.

Parliamentarians have pointed out that many citizens turn to private care due to long waits at public hospitals, only to face the added strain of high costs.

The CEO of Taj Medical Group has added perspective from the private sector, noting that recent regulatory price cuts have intensified competition but could also impact standards of care.

Certain hospitals have slashed fees to unsustainable levels in an effort to dominate the market, which can compromise quality.

There is no oversight on what private hospitals charge, inflated fees risk turning fair healthcare into a luxury rather than a basic right.

He has also emphasised that any monitoring should be grounded in carefully reviewed standards to ensure effective oversight, adding that robust criteria would be essential to maintain service quality without stifling the sector.

The proposal, now approved, calls on NHRA to make certain that healthcare remains fair and accessible to all, without placing undue financial burdens on citizens.

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Bahrain: 20% Bahrainisation Rule For Tenders Approved

22/11/202422/11/2024
by Hannah Gutang

The Daily Tribune, 20 November 2024: The Parliament has approved a proposal requiring companies bidding for government tenders to ensure at least 20% of their workforce is Bahraini.
The measure, designed to tackle unemployment and prevent misuse of Bahrainisation certificates, passed by majority vote, though some called for a more ambitious target.
The move seeks to give more jobs to Bahrainis in service contracts, with compliance overseen by the Labour Ministry or other relevant bodies.
Backers said it is a step towards reducing reliance on foreign workers in common roles such as consultancy and accounting.
Concerns were raised about companies potentially abusing the system to appear compliant.
Investigations showed firms gaining Bahrainisation certificates just to win tenders, undermining the purpose of the rule.
The Labour Ministry must ensure proper enforcement.
One of the proposal’s backers pointed to a growing trend of contracts going to foreign firms, stating that many of these deals involve general services that Bahrainis could easily handle.
By setting a minimum 20% Bahrainisation rate, more opportunities can be created for the local workforce.
While acknowledging the challenges faced by sectors like construction, there were calls for higher rates in less labour-heavy fields.
The 20% figure was described as a starting point, with suggestions for steady increases over time.
However, some dismissed the threshold as too low, advocating for a 50% minimum to better reflect the worth and skills of the local workforce.

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