The UAE has issued a new law to encourage more partnerships between the public and private sectors on projects in the country.
Sheikh Mohammed bin Rashid Al Maktoum, the UAE's Vice President, Prime Minister and ruler of Dubai, issued the legislation which also allows the government to implement its strategic projects effectively and efficiently.
It also allows government bodies to harness financial, administrative, technical and technological expertise of the private sector, news agency WAM reported.
WAM added that the new law also aims to increase productivity and improve the quality of public services, transfer of knowledge and experience from the private to the public sector, as well as training and qualifying Emirati public employees in the areas of management and operation of projects.
It specifies terms for partnerships between the public and private sectors, stipulating that the project has to be economically, financially, technologically and socially feasible.
A government body’s director general or their deputy can approve a project as long as the total cost that will be incurred by the body through the partnership agreement does not exceed AED200 million.
The Department of Finance will be responsible for approving larger projects that have a total cost above AED200 million ($54) to AED500 million.
Projects valued at more than AED500 million will be approved by the Supreme Financial Policy Committee.For all the latest business news from the UAE and Gulf countries, follow us on Twitter and Linkedin, like us on Facebook and subscribe to our YouTube page, which is updated daily.
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