Family businesses in the UAE contribute around 60 per cent of national GDP, more than 80 per cent of employment, and nearly 90 per cent of all private-sector companies, according to the Ministry of Economy and Tourism.
The Ministry described these firms as a cornerstone of the “We the UAE 2031” vision, which aims to double the national GDP to AED3tn ($816bn).
The Ministry shared the data during an open dialogue session with representatives of six major family-owned businesses in the UAE.
Family businesses in the UAE
The meeting focused on strengthening engagement with the sector and ensuring that companies can benefit from the country’s advanced legislative and regulatory ecosystem.
Abdulaziz Al-Nuaimi, Assistant Undersecretary for Entrepreneurship and the Economic Affairs Regulatory Sector at the Ministry, said 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 noted that the Ministry launched the world’s first comprehensive legislation dedicated to the sector — Federal Decree-Law No. 37 of 2022 on Family Businesses — and followed this with four ministerial resolutions that:
- Established the Unified Family Business Register
- Introduced the Family Charter framework
- Set procedures for share buybacks by family-owned companies
- Enabled the issuance of multiple share categories
Unified Register now operational
Al-Nuaimi confirmed that the Unified Family Business Register is now fully operational, currently including 18 companies. It provides services such as registration, certificate issuance, and charter deposit.
He reviewed the legal and regulatory frameworks designed to strengthen governance, support sustainability, and ensure smooth intergenerational transition for family enterprises.
The Assistant Undersecretary also outlined opportunities available to encourage family businesses to expand operations and investments in new economy sectors, aligning with the UAE’s long-term diversification goals.
The session also discussed major challenges affecting the evolution of family-owned firms, particularly internal differences among second-generation and subsequent owners, which can disrupt performance and long-term stability.
Participants explored solutions within Federal Decree-Law No. 37 of 2022, which offers a streamlined legal framework for managing ownership, governance, and generational succession, ensuring that family enterprises remain resilient pillars of the UAE economy.
Follow us on
