Ministry of Economy and Tourism urges private joint-stock companies to hold AGMs by June 30, 2026, and enhance their readiness for listing on financial markets
 

MoET services converted into instant digital offerings in line with the UAE Government’s vision to enhance efficiency and transparency

The Ministry of Economy and Tourism (MoET) urged private joint-stock companies to hold their Annual General Meetings (AGMs) within the specified legal timeframe, and no later than June 30, 2026, for companies whose financial year ended on December 31, 2025. This is to ensure compliance with regulatory frameworks, enhance governance and transparency, and avoid administrative penalties.

Holding the AGM within the specified timeframe is a fundamental legal obligation. It involves approving audited financial statements, discussing governance reports, and making strategic decisions in accordance with the Federal Decree-Law No. 32 of 2021 on Commercial Companies. This supports the law’s objectives to regulate companies and safeguard shareholder rights.

In line with the government's Zero Government Bureaucracy programme, MoET announced that services for registration renewal and AGM approvals are now fully instant via its official website, provided there are no special decisions requiring additional review. This reflects advancements in the digital transformation of MoET services, enhancing the efficiency of government services and enabling companies to complete procedures in a timely manner.

H.E. Abdulla bin Touq Al Marri, Minister of Economy and Tourism, said: "Guided by the vision and directives of its wise leadership, the UAE has established a modern legislative and regulatory environment and comprehensive, advanced economic services for the business sector, driven by technology, digital transformation, and innovation. This enables companies to conduct their economic and investment activities in the country in line with global best practices and in a manner consistent with the UAE’s knowledge-based economic model and the development of the new economy, in line with the objectives of the ‘We the UAE 2031’ vision."

H.E. added: "The commitment of private joint-stock companies to holding AGMs within the legally prescribed timeframes, and to submitting governance reports and financial statements through digital systems, reflects the maturity and high competitiveness of the UAE’s business environment and its adherence to the highest standards of governance. Keeping pace, the Ministry of Economy and Tourism has transformed its services into instant digital offerings in line with the UAE Government’s vision to enhance efficiency and transparency, safeguard the rights of investors and partners, strengthen investor confidence, and support companies’ ambitions for listing and growth."

The Ministry emphasized that the failure to meet the specified deadlines constitutes a violation resulting in administrative penalties. These range from warnings and grace periods for rectification to fines of up to AED 10 million and other stringent measures for repeated offenses, in line with the Commercial Companies Law and Cabinet Decision No. 102 of 2022 regarding relevant administrative penalties.

Holding the AGM is a prerequisite for maintaining the company's legal registration. Ministerial Decision No. 137 of 2024 links the renewal of corporate registration to the submission of annual AGM minutes and audited financial statements.

Furthermore, MoET highlighted the importance of strengthening female representation on corporate boards as a core pillar of good governance and institutional diversity. This aligns with the national efforts to support women in decision-making roles and complies with Ministerial Decision No. 137 of 2024, which mandates female board representation to ensure balance, elevate decision quality, and enhance corporate performance.

Recent amendments to the Commercial Companies Law offer broader opportunities for private joint-stock companies to transition into listed companies and offer shares for private subscription. This contributes to advancing financial markets and unlocking new investment prospects.

AGMs play a crucial role as the highest legal framework for making fundamental corporate decisions. These meetings, along with board sessions, must serve as dynamic platforms for partners and shareholders to transparently exchange views and discuss strategies. Embracing diverse investment and legal perspectives under the umbrella of corporate law is vital to serving the company's best interests and strengthening its financial and competitive performance.

MoET monitors compliance through advanced regulatory systems, focusing on the quality of governance reports, adherence to regulatory frameworks, and financial disclosures. The Ministry adopts a balanced approach between facilitation and enforcement, simplifying procedures while applying strict penalties for non-compliance. This ensures corporate discipline and safeguards shareholder rights. Administrative actions will be taken against companies failing to submit reports or hold AGMs within the specified deadlines.

Companies are encouraged to utilize the upgraded instant digital services to ensure AGMs are held within the legal timeframe. MoET's official website offers a unified, user-friendly platform for submitting AGM requests, reports, and required documents instantly. Virtual attendance and electronic voting features have also been activated to meet the highest governance standards. To access the digital services, visit: https://www.moet.gov.ae/services