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Dubai has created a number of business development areas known as Free Zones, which allow companies to set up in Dubai whilst maintaining its “Offshore Status.” Companies incorporated and operated within the Free Zones are not subject to many of the restrictions imposed for Dubai proper companies. The Free Zones are tax-free, and companies operating within the Free Zone may be 100% foreign owned. Crucially, many Free Zones will only allow companies to trade outside of the UAE.
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