Abu Dhabi introduces licensing law for endowment institutions: The Abu Dhabi Department of Economic Development, in collaboration with the Endowments and Minors’ Funds Management Authority (Awqaf Abu Dhabi), has introduced a new regulatory framework for the establishment and licensing of endowment institutions in the emirate, according to an Abu Dhabi Media Office statement. The resolution, the first of its kind in the UAE, is designed to enhance governance, support family-owned businesses, and strengthen the role of endowments in economic development.

What’s new? The new law grants legal recognition to various types of endowments, including private (family-owned), charitable, and joint endowments. These institutions will be allowed to manage endowed assets and engage in commercial activities aimed at maximizing both financial returns and social impact.

Awqaf Abu Dhabi’s approval is required for all applications to ensure compliance with existing laws and the objectives of the grant. The law also introduces oversight measures to strengthen accountability and risk management.

Bigger picture: The move aligns with Abu Dhabi’s push for sustainable investment and is expected to attract capital in key sectors such as manufacturing, education, healthcare, agriculture, trade, and innovation, Awqaf Abu Dhabi Director General Fahad Abdulqader Al Qassim said in the statement.

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