ADGM completes Al Reem Island integration, adds over 1,100 entities to jurisdiction

Abu Dhabi Global Market (ADGM) is the international financial center in the capital of the United Arab Emirates. Recently, ADGM successfully completed the expansion of its jurisdiction to include Al Reem Island, thereby solidifying its position as one of the world's largest international financial centers. This expansion marks a significant milestone in ADGM's development journey and demonstrates its commitment to growth.

This significant move further strengthens ADGM's determination to build a world-class financial district, which will include Al Maryah Island and Al Reem Island, with a total area of 14.38 million square meters. The inclusion of Al Reem Island adds approximately 500,000 square meters of new office space to ADGM's jurisdiction, providing more options for businesses looking to establish a presence in this rapidly growing financial center.

His Excellency Ahmed Jasim Al Zaabi, Member of the Abu Dhabi Executive Council, Chairman of the Abu Dhabi Department of Economic Development (ADDED) and ADGM, stated: "The successful completion of the Al Reem Island expansion is a milestone in our vision to establish a world-class and forward-looking international financial center. This achievement reflects our unwavering commitment to providing innovative and robust regulatory frameworks, a business-friendly environment, and opportunities for sustainable economic growth."

The inclusion of Al Reem Island businesses into ADGM's jurisdiction has been remarkably successful. Since the expansion was announced in April 2023, over 600 new businesses have been established on Al Reem Island, and over 500 companies located on Al Reem Island have migrated to ADGM licenses, totaling 1,100 new entities operating under ADGM's jurisdiction. This reflects their trust in ADGM's governance and their recognition of its value proposition and regulatory framework.

His Excellency Al Zaabi added: "The seamless integration of Al Reem Island with ADGM is a testament to the trust in our jurisdiction and reinforces Abu Dhabi's economic position as a global business hub and a world-class regulator. Furthermore, this expansion aligns with our plans for accelerated growth, bringing greater economic opportunities and strengthening our long-term strategic growth initiatives."

Al Reem Island also offers a wealth of world-class residential, educational, medical, and lifestyle facilities. Together, ADGM, Al Maryah Island, and Al Reem Island constitute a highly attractive place to work and live, ranking among the top global financial centers. During the transition, ADGM signed 15 Memoranda of Understanding (MOUs) with key stakeholders, strengthening cross-sector collaboration to support growth and business continuity.

To facilitate the smooth migration of Al Reem Island businesses, ADGM implemented a number of flexible measures and worked closely with more than 30 mainland regulatory and government agencies, including the Central Bank of the UAE (CBUAE), the Federal Authority for Identity, Citizenship, Customs and Port Security (ICP), the Ministry of Human Resources and Emiratisation (MoHRE), the Abu Dhabi Department of Economic Development (ADDED), and the Abu Dhabi City Municipality (ADM).

As part of these agreements, the collaboration with ADNOC focused on ensuring that entities migrating from Al Reem Island to ADGM jurisdiction retained their existing registration through ADDED's dual licensing. They also enabled these entities to renew and issue security passes, which are issued by the National Guard, for working on Abu Dhabi's secure sites and critical infrastructure.

In addition, ADGM law firms have been permitted to continue registering lawyers with the Ministry of Justice and practicing within the Abu Dhabi judicial system under ADDED's dual licensing. Throughout the transition, ADGM actively engaged with stakeholders, holding over 200 client meetings, conducting over 500 client site visits, and addressing over 300 client inquiries. These proactive efforts ensured a smooth transition for all affected entities.

To further enhance the attractiveness of the ecosystem, ADGM launched an updated fee schedule, effective from January 1, 2025, reducing the fees for obtaining and renewing commercial licenses for non-financial and retail businesses within its jurisdiction by 50% or more. ADGM will continue to actively collaborate with the remaining entities that still need to transition to ensure that they comply with ADGM's regulations and to ensure that their business operations continue without disruption.