UAE: Identity and Citizenship Decisions Approved

The UAE’s Cabinet has approved various identity and citizenship amendments. The decisions include suspending the decisions related to the residency of expatriates, visas, entry permits and identity cards valid from 11 July 2020.

The Federal Authority for Identity and Citizenship has been authorised to start collecting the fees owed for services it provides from 12 July 2020. The Cabinet also approved a one-month grace period for UAE nationals and GCC nationals and residents who have spent less than six months abroad to renew their documents.

UAE: Energy and Infrastructure Ministries Merged

The UAE’s Prime Minister has announced a Government restructuring, which will see the Energy and Infrastructure Ministries merged. The merged Ministry will be led by the country’s current Energy Minister. They have been given a year to achieve new targets. The head of Abu Dhabi’s national oil company ADNOC, Sultan al-Jaber, has been appointed Industry and Advanced Technology Minister and Abdullah al-Marri has been appointed Economy Minister.

A Minister of State for Digital Economy, Artificial Intelligence and Teleworking Applications position has been created and Omar Al-Ulama has been appointed to the position.

A new UAE Government Media Office will also be established while the National Media Council and the Federal Youth Authority will be merged into the Culture Ministry. The General Pension and Social Security Authority will be merged with the Community Development Ministry, the National Qualifications Authority will be merged with the Education Ministry and the Insurance Authority will be merged with the Securities and Commodities Authority.

In addition, half of Government service centres will be abolished and converted into digital platforms within two years. Finally, half of federal agencies will be merged with each other or in ministries. The moves follow an announcement of restructuring last month.

Weekly Spotlight: Economic Substance Regulation Notification in the UAE Must be Submitted by 30 June

The UAE’s Finance Ministry has announced all companies in the UAE who engaged in relevant activities up to and including 31 December 2019 must submit a notification of Economic Substance Regulations to its Regulatory Authority by 30 June 2020 to avoid administrative activities. Banking, insurance, investment fund management, financial leasing, headquarters and shipping operations, holding and intellectual property companies, distribution and service centres are all considered relevant activities. The definition of each of these activities can be found in the relevant activities guide on the Ministry’s website. The implications of Coronavirus on Relevant Activities which were directly affected by Government restrictions including travel bans, self-isolation measures, social distancing etc will be taken into account when assessing whether a UAE-licensed company has met the Economic Substance Regulations test for the relevant period.

Abu Dhabi: Safe Handling of Food Guidelines Issued

Abu Dhabi’s Agriculture and Food Safety Authority has issued guidelines on how to deal with food safely during the Coronavirus pandemic. The guidelines target food outlets, food delivery services and consumers and contain various sections including personal health and managing operations in health entities. They also include provisions on managing delivering and receiving food orders, receiving food meals and instructions for consumers. The aim is to clarify the anti-Coronavirus measures to be taken by food outlets as well as boost health practices by consumers to limit the risk of infection and increase health standards throughout society. The guidelines are available in Arabic, English and Urdu.

Weekly Spotlight: New DIFC Data Protection Law Enacted

The Ruler of Dubai has enacted the new DIFC Data Protection DIFC Law No. 5/ 2020. The new law will come into effect from 1 July 2020 and current DIFC Data Protection Law, DIFC Law No. 1/2007, will remain in effect until this date. New DIFC Data Protection Regulations which set out the procedures for notifications to the Commissioner of Data Protection, accountability, record keeping, fines and adequate jurisdictions for cross-border transfers of personal data have also been issued.

The DIFC’s updated Data Protection Law and Regulations set out expectations for Controllers and Processors in the DIFC on several key privacy and security principles. The Data Protection Law combines the best practices from a variety of current, global data protection laws, including the EU’s General Data Protection Regulation (GDPR), the California Consumer Privacy Act and other advance technology agnostic concepts. They will enable DIFC to continue to build upon the Centre’s reputation as a leading global financial centre while also promoting ethical data sharing. The new Data Protection Law and Regulations provide a framework that will support DIFC’s bid for adequacy recognition by the European Commission, the UUK and other jurisdictions, easing data transfer compliance requirements for DIFC businesses.

The changes legislate for accountability of Controllers and Processors through compliance programmes requirements, appointing data protection officers where necessary, conducting data protection impact assessments and imposing contractual obligations that protect individuals and their personal data. Enhanced rights of individuals are clarified in terms of data usage by entities that collect and manage personal data, including contractual clarity on such rights when engaging with vendors of emerging technologies, such as Blockchain and Artificial Intelligence (AI). Permit options for cross-border data transfers and special category personal data processing have been removed. The new Law and Regulations include appropriate data sharing structures between government authorities, which represent a key step forward in data sharing standards within the UAE and the region.

General fines for serious breaches of the Law, in addition to or instead of administrative fines, and ncreased maximum fine limits, have been introduced. In light of the current global pandemic, while DIFC Law No. 5/ 2020 will be effective from 1 July 2020, businesses to which it applies have a grace period of three months, until 1 October 2020, to prepare to comply with it, after which it becomes enforceable.