Abu Dhabi Global Market (ADGM) has announced a major initiative — the ADGM license fee reduction 2025 — introducing more than 50% savings for selected business categories. Effective January 1, 2025, the revision follows the conclusion of ADGM’s transition period on December 31, 2024, and is expected to boost business activity across Al Reem Island and Al Maryah Island.

At NH Management, we consider the ADGM license fee reduction 2025 a transformative opportunity for entrepreneurs and corporate entities looking to benefit from lower setup and renewal costs in one of the UAE’s most respected financial jurisdictions.

Learn more about our ADGM company formation services to explore how we can assist with structuring and licensing under the new cost framework.

ADGM License Fee Reduction 2025: Implementation and Effective Date

The new ADGM license fee reduction 2025 will officially take effect on January 1, 2025. The revision will apply to both Al Maryah Island and Al Reem Island, covering all entities under the non-financial, retail, financial, technology, and SPV license categories.

The ADGM Registration Authority (RA) developed these revisions following a comprehensive consultation process with Al Reem Island businesses in 2023. These discussions helped assess competitiveness, regulatory alignment, and investor expectations.

Revised Fee Schedule Under the ADGM License Fee Reduction 2025

Under the ADGM license fee reduction 2025, new registration and renewal fees have been significantly lowered for several categories:

• Non-Financial Category

  • New license registration reduced from $10,000 to $5,000.

  • Annual renewal fees lowered from $8,000 to $5,000.

• Retail Category

  • New registration fees cut by two-thirds from $6,000 to $2,000.

  • Annual renewals reduced by 50% to $2,000.

These changes position ADGM as one of the most cost-competitive international financial centres for non-financial and retail entities.

Additional Fee Adjustments Beyond the ADGM License Fee Reduction 2025

While the primary focus is on cost reduction for non-financial and retail businesses, other categories have also undergone adjustments:

• Financial Category:

  • New license fees rise from $15,000 to $20,000.

  • Renewal fees increase from $13,000 to $15,000.

• Technology and FinTech Startups:

  • Fees increase slightly from $1,000 to $1,500 for both new and renewed licenses.

• Special Purpose Vehicles (SPVs):

  • Fees remain unchanged at $1,900, reinforcing ADGM’s position as a preferred jurisdiction for holding and structuring purposes.

The cut-off date for the previously introduced fee exemption for qualifying non-financial and retail businesses on Al Reem Island is October 31, 2024.

Strategic Impact of the ADGM License Fee Reduction 2025

The ADGM license fee reduction 2025 aligns with Abu Dhabi’s broader economic diversification strategy and aims to:

• Boost ADGM’s competitiveness within the MENA region.

• Support business migration from other UAE jurisdictions.

• Encourage SMEs and startups to register within ADGM.

• Increase investor confidence through lower entry costs and strong governance frameworks.

By reducing barriers to entry, ADGM is positioning itself as the preferred financial hub for regional and international businesses in 2025.

Proactive Measures Supporting the ADGM License Fee Reduction 2025

To ensure a seamless transition, ADGM’s Registration Authority has implemented multiple initiatives, including:

• Financial impact studies across all licensing categories.

• Temporary fee waivers during the transition period for select businesses.

• Awareness campaigns for new and existing entities relocating to ADGM.

These steps are designed to facilitate smooth adoption of the ADGM license fee reduction 2025, helping businesses maximize operational efficiency and cost savings.

Incorporate or Transition to ADGM with NH Management

The ADGM license fee reduction 2025 offers an ideal opportunity for entrepreneurs, family offices, and corporations to establish or relocate their entities in ADGM while benefiting from reduced costs and a world-class legal environment.

At NH Management, we help clients:

• Assess eligibility and licensing category under ADGM.

• Prepare and submit incorporation documentation.

• Liaise directly with the ADGM Registration Authority for seamless onboarding.

• Maintain compliance and governance post-incorporation.

Take advantage of the ADGM license fee reduction 2025 with guidance from our expert team.

Contact us today at info@nhmanagement.com or call +971 4 222 1327 for a personalized consultation on forming or transitioning your business to ADGM under the new 2025 fee structure.