(MENAFN- Mid-East Info) H.E. Al Nuaimi highlights the key role of family enterprises in advancing the national economic vision and driving the UAE's transition toward a knowledge-based, innovation-driven economy

The Ministry of Economy and Tourism organized an open dialogue session that brought together representatives of six major family-owned businesses in the UAE, as part of its ongoing efforts to strengthen direct engagement with family enterprises. The session was aimed at enabling these businesses to benefit from the country's advanced legislative and regulatory environment, designed to support the sustainability and growth of this vital sector.

H.E. Abdulaziz Al-Nuaimi, Assistant Undersecretary for Entrepreneurship and the Economic Affairs Regulatory Sector at the Ministry, emphasized that the UAE has made significant strides in developing a competitive and integrated legislative framework to support the growth and long-term prosperity of family businesses. He highlighted the pivotal role these enterprises play in advancing the national economic vision and driving the UAE's transition toward a knowledge-based, innovation-driven economy.

“Family businesses contribute approximately 60 per cent of the UAE's GDP, account for more than 80 per cent of employment, and represent nearly 90 per cent of all private-sector companies in the country,” said H.E. Al Nuaimi.“This makes them a cornerstone in achieving the objectives of the 'We the UAE 2031' vision, which aims to double the nation's GDP to AED 3 trillion within the next decade.”

H.E. added:“In collaboration with partners from both the public and private sectors, the Ministry of Economy and Tourism launched the world's first comprehensive legislation dedicated to this vital sector - Federal Decree-Law No. 37 of 2022 on Family Businesses. The Ministry has also issued four ministerial resolutions that established the Unified Family Business Register, introduced the Family Charter framework, set out procedures for share buybacks by family-owned companies, and enabled the issuance of multiple share categories.”

The Assistant Undersecretary explained that the Unified Family Business Register is now fully operational through an integrated system aligned with the licensing processes of local authorities across the UAE, ensuring streamlined and reliable procedures nationwide. The register currently includes 18 companies and provides services such as registration, certificate issuance, and charter deposit.

During the meeting, H.E. reviewed the legal and regulatory frameworks established under the Family Business Law, as well as mechanisms designed to support the sector's sustainability, enhance governance, and ensure smooth intergenerational transition. He also outlined the opportunities and enablers available to encourage family businesses to expand their operations and investments in new economy sectors.

“These measures contribute to strengthening the competitiveness of the UAE's business and investment landscape, while giving family enterprises the flexibility they need to scale both domestically and internationally,” H.E. Al Nuaimi noted.

The meeting explored key strategies to empower family businesses and support their sustainable growth, with a particular focus on ensuring a smooth transition of ownership and management across generations. This approach seeks to safeguard the continuity of their success and strengthen their position as a cornerstone of the UAE's economic competitiveness. Discussions also highlighted the importance of fostering stronger connections among family business leaders to encourage the exchange of knowledge and experiences that can help shape more agile, resilient, and sustainable business models.

Participants received a detailed briefing on the Family Business Law and the ways in which enterprises can benefit from its provisions. They were also introduced to the registration procedures under the Ministry of Economy and Tourism's Family Business Register, as well as the process of depositing family charters to grant them legal recognition, thereby preserving the governance philosophy and values of the founding generation.

The meeting also addressed major challenges affecting the evolution of family businesses in the UAE, particularly internal differences among second-generation and subsequent owners that may disrupt performance stability and hinder long-term growth. In response, participants discussed viable solutions under Federal Decree-Law No. 37 of 2022, which offers a streamlined legal framework for managing ownership, governance, and generational transition. It also provides effective mechanisms for resolving related disputes in a way that secures business continuity and operational stability.

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