Aiming to become a major financial centre in the Middle East region, the Abu Dhabi Global Market (ADGM) is wooing Indian businesses with incentives like zero tax for 50 years and full ownership.
The key officials of ADGM are on a 10-day visit to India and meeting businesses at Delhi, Mumbai, Hyderabad, Kochi and Thiruvananthapuram.
Tax holiday, sops on offer
“We have a very good legal and regulatory platform. We can offer a quick and efficient set-up in a well regulated international business platform. We allow for full foreign ownership, we have zero percent tax regime for 50 years, no withholding taxes, one-stop-shop. So, we facilitate every aspect of a set-up,” Martin Tidestrom, business development director, ADGM said during an interaction.
Tidestrom said ADGM aims to become a major financial centre in the Middle East and targets countries in the Gulf Cooperation Council besides India and those in northern Africa.
“With incoming Place of Effective Management (PoEM) rules and the renegotiation of the Mauritius Double Tax Treaty, the global tax landscape for Indian businesses is evolving. We believe that ADGM offers an attractive, tax-efficient jurisdiction that is well-positioned in the current environment to serve Indian businesses when structuring global operations,” he said further.
He said Abu Dhabi is in the centre of the UAE region, near to India and the north Africa–the countries that show lot of promises and lot of growth in many key industries.
“There are a number of regions that are of importance to us. So, we see great opportunities for the financial services in the long-term and Abu Dhabi and the ADGM is the best platform for that,” he added.
Acknowledging global challenges in the current scenario, Tidestrom said solutions are being worked out and with the kind of growth presently, ADGM is in a very good position to be a truly international financial centre in the next 5-10 years.
Further, he said the UAE offers better terms than many of India’s other taxation treatment, for example, on interest payment which opens up to quite interesting opportunities to bring in firms.
ADGM opened for business in 2015 as a key initiative to catalyze economic development and diversification. It is a standalone jurisdiction within Abu Dhabi that operates under English Common Law.