Abu Dhabi investors holding long-expired economic licences have been given a lifeline with a new penalty waiver system.
The Abu Dhabi Registration and Licensing Authority (ADRA) has launched a new grace period allowing businesses with licences expired for three years or more to renew or update their status without penalties.
The initiative, under the Abu Dhabi Department of Economic Development (ADDED), aims to make it easier for investors to regularise their businesses, avoid penalties, and remain active in the emirate’s fast-growing economy.
Supporting investor confidence and compliance
The update comes as Abu Dhabi accelerates efforts to streamline regulations and support private-sector growth in line with its economic diversification agenda.
The emirate has seen strong investor sentiment, with active economic licences rising by 19 per cent in the first half of 2025 compared to the same period in 2024.
Mohammed Munif Al Mansoori, Director General of ADRA, said: “We are committed to maintaining open dialogue with the business community across multiple channels to better understand their challenges and identify practical solutions that align with existing regulations.
“Constructive engagement is central to the development and regulation of the business sector.
“By extending eligibility to licences that expired before 2010, we are reinforcing our commitment to ensuring all businesses have equitable access to support initiatives.
“I strongly encourage eligible licence holders to take action within the announced timelines to resolve any outstanding regulatory issues.”
He added that the continued rise in active licences reflects Abu Dhabi’s strong appeal to investors, while ADRA’s focus remains on delivering business-friendly solutions that simplify licensing and align with international standards.
Abu Dhabi penalty exemptions
The first phase of the initiative targets licences that expired before 2010. Eligible holders can renew or update their expired licences throughout November 2025 with full exemption from late renewal penalties.
ADRA will announce a separate timeline later for licences that expired after 2010. Under Abu Dhabi regulations, authorities move licences unrenewed for more than three years to an expired registry and make them subject to revocation.
ADRA urged eligible investors to take advantage of the grace period to ensure compliance and regain operational status.
Data accuracy and global competitiveness
The initiative follows ADRA’s market research and stakeholder consultations designed to understand why licences lapse and how to minimise the impact on businesses.
ADRA said maintaining accurate, transparent business data is critical to strengthening Abu Dhabi’s competitiveness and improving access to reliable information for decision-making.
The authority continues to serve as the central entity for business registration, business registry, and regulatory oversight, ensuring compliance across Abu Dhabi’s mainland and non-financial free zones under UAE federal regulations.
By adopting advanced digital solutions and aligning with international best practices, ADRA said it aims to foster a more efficient, transparent, and globally competitive business environment.
Empowering the Abu Dhabi business ecosystem
The initiative reinforces Abu Dhabi’s long-term strategy to build a modern, investor-friendly ecosystem that encourages entrepreneurship and reduces regulatory complexity.
ADRA reiterated that constructive engagement, data integrity, and technology-driven services remain key to enabling the private sector — one of the main drivers of Abu Dhabi’s socio-economic development.