Creating the Dubai International Financial Centre (DIFC) and the Dubai Financial Services Authority (DFSA) required a unique legal and regulatory framework, made possible through a synthesis of Federal and Dubai Law. The framework is set out below.
UAE Constitution
An amendment was made to Article 121 of the UAE Constitution, which deals with the division of powers between Federal and Emirati authorities and which allows the Federation to enact a Financial Free Zone Law. This in turn allows an Emirati Government to create a Financial Free Zone within a particular Emirate.
Click here to read an English version (a DFSA translation).
Federal Law No 8 of 2004
Federal Law No 8 of 2004: Regarding The Financial Free Zones in the United Arab Emirates (the Financial Free Zone Law), was gazetted on 27 March 2004. This Law allows a Financial Free Zone to be established in any Emirate of the UAE, by Federal Decree. Importantly, it exempts Financial Free Zones and Financial Activities from all Federal civil and commercial laws. UAE criminal law still applies. The DIFC is empowered to create its own specific legal and regulatory framework for all civil and commercial matters.
Click here to read an English version (a DFSA translation).
Federal Decree No 35 of 2004
The Federal Decree specifically established the DIFC as a Financial Free Zone in the Emirate of Dubai, with the following resolutions:
1. A resolution of the Federal Cabinet prescribes the geographical area and location of the DIFC in the heart of Dubai. It is an area of approximately 110 acres located beside Sheikh Zayed Road, marked by the DIFC headquarters ‘Gate’ building. The area is designed as a self-contained and concentrated hub of financial activity.
2. To allow for construction and a smooth transition for occupants, a further resolution of the Federal Cabinet permits DIFC participants to operate outside these physical boundaries for the first four years of the DIFC’s operation.
Click here to read an English version (a DFSA translation).
Dubai Law No 9 of 2004 (as amended)
Dubai Law No 9 of 2004, '‘The Law Establishing the Dubai International Financial Centre’ is a Dubai Law that recognises the financial and administrative independence of the DIFC. It establishes the various bodies, including the DFSA, that are necessary for the DIFC’s day-to-day operation. It also directs that the DIFC Courts be formed. The Dubai Law enables the Ruler of Dubai to appoint the President of the DIFC and also provides exemptions from rules or regulations otherwise applicable in the Emirate of Dubai.
Click here to read the official English and Arabic language version of Dubai Law No 9 of 2004, as published in the Gazette.
On 4 April 2011, Dubai Law No. 9 of 2004 was amended in a number of respects by Dubai Law No. 7 of 2011. Click here to read the official Arabic language version of Dubai Law No 7 of 2011, and click here to read the official English translation of that law, both published in the Gazette.
On 1 August 2011, Dubai Law No. 9 of 2004 was further amended by Dubai Law No. 14 of 2011. Click here to read the official Arabic language version of Dubai Law No. 14 of 2011 as published in the Gazette, and click here to read an unofficial DFSA English translation of that Law.
Click here to read an unofficial DFSA consolidated English translation of Dubai Law No 9 of 2004 as amended.
Dubai Law No 12 of 2004
This Law establishes the DIFC Courts (first instance and appeal) and prescribes the jurisdiction of the Courts. It also deals with execution of judgments, awards and orders.
Click here to read an English version (a DFSA translation).
Cabinet Resolution No 28 of 2007
A Cabinet Resolution in regard to implementing Regulations of Federal Law No 8 of 2004 concerning Financial Free Zones.
Click here to read an English version (a DFSA translation).
Click here to access the official Arabic version published in the Gazette.