DIFC reforms expand access to Prescribed Company regime

The Dubai International Financial Centre (DIFC) has implemented significant reforms to its Prescribed Company (PC) regime. These changes remove previous eligibility and nexus requirements, allowing a much broader range of international businesses and investors to utilize the structure.

As the first common law jurisdiction in the Gulf Cooperation Council (GCC) to offer global investors broad access to this regime, the DIFC aims to facilitate cross-border capital and investment. Previously, applicants were restricted by specific categories or required a qualifying purpose, often excluding those without an existing DIFC presence or those holding assets outside the GCC.

The reforms are expected to provide new opportunities for international groups, particularly those in Asia and the Middle East, to use GCC-based entities for global corporate, investment, and wealth planning strategies. This may also improve access to regional banking and capital-raising opportunities.