LexisNexis Middle East

Kuwait: Draft Bankruptcy Law Being Referred to Parliament

17/08/202017/08/2020
by Benjamin Filaferro

The Kuwaiti Government has referred a draft bankruptcy law to Parliament to consider. The aim is to improve the business environment in the country, address bankruptcy cases and preserve commercial companies. It also aims to maximise the returns of creditors, collect as much money for them as possible and create a legal system which attracts local and foreign investment. In addition, it aims to keep commercial companies operating and provide systems and mechanisms to enable this. This includes allowing preventive settlement and restructuring and protecting the owners of small and medium enterprises; by reducing the periods stipulated by the law. Finally, it will abolish the role of expert management in the bankruptcy process and replace it with a bankruptcy committee. Those on the committee will have financial expertise and be responsible for supervising the procedures for restructuring, bankruptcy and reconciliation regarding debts.

News developments

Egypt: Decision to Establish a Supreme Committee to Examine Airports Storage Areas

17/08/202017/08/2020
by Benjamin Filaferro

Egypt’s Civil Aviation Minister has issued a Decision to establish a supreme committee including representatives from the relevant departments. It will be chaired by the Security Sector Chairman in the Ministry. They will examine and compile an inventory of shipments, storage and containers in the goods village and storage areas in Cairo airport and all airports. The aim is to take all of the necessary measures against dangerous materials.

News developments

UAE: Services and Purchases Made on Online Shopping Sites Are Now Subject to 5% VAT

17/08/202017/08/2020
by Benjamin Filaferro

The UAE’s Federal Tax Authority has confirmed all services and purchases made on online shopping sites are subject to 5% VAT. The purchases will have to be made in line with special conditions and controls which govern the tax treatment applicable to those supplies. The tax is imposed on the actual use of these services. Many of the general tax rules apply to e-commerce transactions in line with the existing rules.

News developments

Oman: Employment Rules Clarified

17/08/202017/08/2020
by Benjamin Filaferro

Oman’s Public Prosecution has clarified the employment rules. They clarified expatriate employees who leave an employer to work for another will be jailed for one month and fined 1,000 Rials. The penalties will be doubled for multiple violators. Those who work without a permit from the relevant authorities by an expatriate or work for another employer apart from their licensed employer will also be jailed for a month and fined 800 Rials. They will also be deported and refused entry to the Sultanate.

News developments

Bahrain: Reorganisation and Bankruptcy Law Proposed

17/08/202017/08/2020
by Benjamin Filaferro

Bahrain’s Cabinet has proposed amendments to the Kingdom’s Reorganisation and Bankruptcy Law. The proposed amendments are contained in a draft law which has been submitted to the Council of Representatives to consider. If approved, it will amend Bahrain Law No. 22/2018.

Weekly Spotlight

Qatar: Labour Ministry Launches Online Work Permit Service

17/08/202017/08/2020
by Benjamin Filaferro

Qatar’s Administrative Development, Labour and Social Affairs Ministry has announced it is going to launch two new services, including a work permit service on Sunday. The work permit service will be available to those who are on the residency of their relatives or who are changing profession. This will benefits residents who want to issue a new work permit or renew, cancel or get a replacement for one. It is part of the Ministry’s efforts to provide more services online to improve processing times and allow services to be provided remotely.

It will also benefit employees who are not directly recruited by employers and want to contract with it for regular and main professions with supporting documents attached, particularly if sub-professions in line with the terms and conditions. Those applying to change professions or job titles will have to provide their resident ID card. It can also be provided by the relevant party or the authorised signatory providing the documents required are attached.

The Ministry has prepared an online directory which the relevant person or employer can refer to via the website or through the Ministry’s social media platforms to learn about service requirements, terms, conditions and procedures.

News developments

Qatar: Illegal Food Seizures

09/08/202007/08/2020
by Benjamin Filaferro

In Qatar, the Health Monitoring Section of Al Sheehaniya Municipality has seized illegal food from a number of food outlets in Umm Al Zubar. The outlets had been running without the appropriate licenses. The Ministry of Municipality and Environment has stated the measures were taken during an inspection campaign in line with Qatar Law No. 8/1990 on regulating food items.

News developments

Bahrain: Electronic Trade Law Amendment Proposed

08/08/202007/08/2020
by Benjamin Filaferro

Bahrain’s MP Ahmed Alsalloum who is the chairman of the financial and economic affairs committee has revealed his intention to propose an amendment to the electronic trade law. The aim of the proposal is to protect local traders against the international electronic trade. The MP has stated Bahrain needs to settle rules and regulations to create a balance between international electronic trade and local traditional trade.

News developments

Ajman: New Free Zone Incentives

08/08/202007/08/2020
by Benjamin Filaferro

The President of Ajman Free Zone has announced eight new incentives designed to support existing and new companies in the free zone during the second half of 2020. The incentives will include a wide range of deductions and exemptions. The incentives include a full exemption for returned cheques fines, cheques replacement fines, license renewal fees, and a 100% exemption on fees to guarantee participation in smart services. During the second half of the year existing and new companies in the free zone will also have the opportunity to benefit from a wide range of flexible instalments plans for a period of three months when renting a business centre, and flexible instalments for a period of six months when renting offices, executive offices or warehouses, and a 25% discount on workers’ housing fees.

News developments

Dubai: Economic Programme for Post COVID Recovery Announced

07/08/202007/08/2020
by Benjamin Filaferro

The Dubai Government has partnered with the Mohammed bin Rashid School of Government (MBRSG) to launch the Great Economic Reset Programme as part of its post COVID-19 initiative. The programme will include analysis of current and future policies, research and extensive stakeholder consultation to set the direction and tone of future economic policies, regulations and initiatives. A Virtual Policy Council will propose the best approaches Dubai and the UAE can adopt to address the risks and opportunities in the new normal economy.