In order to protect Dubai’s economy from financial risks and crimes, Economic Security Center of Dubai (ESCD) is established in consonance with Law No. (4) of 2016 onthe Dubai Economic Security Centre, which was subsequently amended by Law No. (9) of 2019 to augment the legislations of economic security to counter corruption and economic crimes. This piece of legislation decrees ESCD as an independent public entity, with appropriate jurisdiction that enables it to execute its mission in collaboration with other relevant entities.
This new law works to maintain and supplement Dubai’s position as a global financial and economic hub, to support the financial stability of the locals, to protect its economy, to safeguard its investments from crimes, to ensure the implementation of international best practices and to enhance the confidence of investors and financial institutions operating in Dubai.
Main roles and prerogatives of ESCD in ensuring:
1. Economic enablement:
It prepares strategic, developmental, operational plans, policies, initiatives and programs that will realize the goals of the Economic Security Law and supervise their execution.
2. Economic awareness:
To prepare expert studies with recommendations on Dubai’s financial and economical affairs, for the purpose of developing global and local awareness on investment and economy
3. Analysis and forecasting:
ESCD monitors and analyses a preventive role to counter negative impact of internal and external economic trends. It also prepares and publishes periodical statistics on the financial situation of Dubai
4. Economic security
Focuses on countering illegal activities, practices and dealings that adversely impact Dubai’s economy and resources, and curb activities against the Federal Laws.
5. Legislation and monitoring.
The ESCD in its preventive and correctional role shall ensure proper governess in the public sector, as well as in the financial markets,commodities markets, free zones and stock exchange of Dubai.
This is an additional milestone in Dubai’s continuous efforts to confirm its position as an international financial hub. It guarantees international investors with economic/ financial stability and transparency in Dubai. The regulatory role of the new Centre and its broad scope should be effective in minimizing illegal activities within Dubai’s financial markets. Furthermore, the significant penalties provided by this Law has dissuasive effect on potential violators.
Motei & Associates is a Dubai-based law firm boasting vast experience in disputes resolution and general corporate, commercial transactional services. Operating in an increasingly challenging market, we area dynamic, innovative and dedicated firm with an effective blend of experienced lawyers and young talents. By establishing our clients’ needs and concerns, we are able to cut through legal complexities and deliver effective advocacy.