Qatar relaxes rules on foreign ownership

Good news for foregin Investors..we can expect more International companies to open their offices here..
I am a step closer to my dream business:)

An amendment to Qatar’s investment law allowing up to 100% foreign ownership in certain commercial enterprises has been made official, Gulf Times has learned.
The Minister of Business and Trade may now issue a resolution to allow the foreign ownership limit to exceed 49% in the following new sectors:
Business consulting
Technical services
Information technology
Cultural, sports and leisure services
Distribution services
Since 2000 outside investors have been exempt from the 49% capital ownership rule only if they were involved in agriculture, manufacturing, health, tourism, development and exploitation of natural resources, energy or mining.
The change of legislation is part of a national strategy to “enhance competitiveness and attract investment in a dynamic and increasingly borderless international economy”, as outlined in the economic development goals that form part of Qatar Vision 2030.
Andrew Wingfield, Qatar-based partner of international law firm Simmons & Simmons, said: “The amendment creates opportunities for foreign partners to buy, and for Qatari partners to sell their ownership interests in joint venture companies, and it may be worth checking whether existing articles of association or joint venture agreements set out share transfer mechanisms in the event of changes in law.”
Additionally, overseas investors will be allowed to set up new companies and stop providing services and products through joint venture operations.
Stephen Anderson, Lead Advisory Partner, PricewaterhouseCoopers Qatar, welcomed the move. “This is a vital step in Qatar moving towards the 2030 Vision. The volume of interest in Qatar at the International Investment Forum in Paris last week was phenomenal,” he said.
“We have seen a dramatic rise in interest from our international client base in investment and business opportunities in recent months here in Qatar. The loosening of restrictions on foreign ownership will further boost the flow of not just capital into Qatar but importantly knowledge and innovation.”

http://www.gulf-times.com/site/topics/article.asp?cu_no=2&item_no=352301...