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    Media Announcements ADGM Announces Fee Revision for Commercial Licences Starting 2025 Download Arabic

    ADGM Announces Fee Revision for Commercial Licences Starting 2025

    ADGM: 17 July 2024

    Download Arabic
    • ADGM introduces another initiative in line with its efforts to support the seamless transition of Al Reem businesses to ADGM following its expansion to Al Reem Island last year.
    • Fee revision applies to all categories of licenses and will be applicable from 1st January 2025.

      

    ADGM, the international financial centre of the UAE’s capital, has announced significant revisions to its licensing fee schedule as part of its transitional arrangements for Al Reem Island businesses. Starting from 1st January 2025, ADGM will implement major reductions of 50% or more for obtaining non-financial and retail licences within its jurisdiction. This initiative aims to enhance ADGM's business ecosystem, making it more attractive and accessible for various enterprises.

    Under the revised fee schedule, new registrations within the non-financial category of businesses will see fees reduced from USD 10,000 to USD 5,000. In contrast, the annual licence renewal fees for the same category will decrease from USD 8,000 to USD 5,000. Fees for the retail category have also been significantly reduced, with new registration fees cut by two-thirds from USD 6,000 to USD 2,000. Licence renewals for the retail category will also see a 50% reduction, bringing the annual renewal fees down to USD 2,000.

    The effective date of the revised licensing fees has been set as 1st January 2025 to align with the expiry of the current transition period, which ends on 31st December 2024. The new fee structure will be applicable across ADGM’s jurisdiction, which includes both Al Maryah and Al Reem Island.

    The introduction of these fee revisions is in line with the series of consultations conducted in 2023 by ADGM with a focus group of Al Reem Island businesses to gather feedback and insights related to ADGM’s jurisdiction expansion. These discussions covered major topics such as the ease of obtaining an ADGM commercial licence and the relevant fees. Following these consultations, the Registration Authority (RA) of ADGM conducted a comprehensive review of its fee structure to meet the expectations of its newly expanded jurisdiction and commercial landscape, ensuring a smooth transition for its new business segments.

     

    Hamad Sayah Al Mazrouei, the CEO of ADGM RA said, “To facilitate a seamless transition, ADGM and its Registration Authority have proactively introduced various initiatives, prioritising our business community at the core of every decision. We assessed the financial impact on different business categories and previously implemented a fee waiver for qualifying non-financial and retail businesses on Al Reem Island. Building on these efforts, we have now revised our fee structure to include significant reductions for the same categories starting next year. Our aim is to minimise potential disruptions for businesses transitioning to an ADGM licence, enabling them to operate efficiently within our jurisdiction.”

     

    The cut-off date for the previously introduced fee exemption for qualifying non-financial and retail businesses located on Al Reem Island is 31st October 2024. Fee revisions for other categories include changes in the fee structure within the financial category, increasing from USD 15,000 to USD 20,000 and renewals rising from USD 13,000 to USD 15,000 for an annual ADGM licence. Additionally, there is a minor adjustment for tech and fintech startups, with fees changing from USD 1,000 to USD 1,500 for both new and existing licence renewals. The fees for the Special Purpose Vehicle (SPV) category remain unchanged at USD 1,900.

    The full fee schedule that will be applicable for new business registrations as well as licence renewals from 1st January 2025, will be published in December.

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