Abu Dhabi Announces 50% Licensing Fee Reduction for Select Licenses

The Abu Dhabi Global Market (ADGM) is reducing fees by 50% or more for non-financial and retail licenses. This new fee schedule starts on January 1, 2025, as part of the transitional plan for businesses on Al Reem Island.

The ADGM, covering Al Maryah and Al Reem Islands, will reduce new non-financial business registration fees from $10,000 to $5,000, with annual renewal fees dropping from $8,000 to $5,000. Retail category registration fees will decrease from $6,000 to $2,000, and renewal fees will be reduced to $2,000.

These changes take effect January 1, 2025, following the expiration of the current fees on December 31. Previously, qualifying businesses on Al Reem Island were exempt from paying ADGM commercial license fees until October 31, 2024.

The fee structure for other categories has also been revised. Financial category fees will increase from $15,000 to $20,000 for new registrations and from $13,000 to $15,000 for renewals. Tech and fintech startup fees will rise from $1,000 to $1,500 for both new and renewal licenses. Special Purpose Vehicle (SPV) fees remain at $1,900.

The ADGM's decision follows consultations with Al Reem Island businesses in 2023. Hamad Sayah Al Mazrouei, CEO of ADGM’s Registration Authority, stated, “Our goal is to minimize disruptions for businesses transitioning to an ADGM license, ensuring they can operate efficiently within our jurisdiction.”

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