Introduction Of UAE
The United Arab Emirates (UAE) continues its push towards gender equality in the business and corporate sector with a landmark decision to mandate the inclusion of women on the boards of directors of private joint-stock companies. Starting January 2025, at least one seat on the boards of these companies must be allocated to women following the conclusion of the current boards’ terms. This is part of the UAE’s broader strategy to promote gender balance and enhance women’s role in the economy.
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A Bold Step Toward Gender Balance
The decision was recently announced by the UAE Ministry of Economy, underscoring the government’s commitment to fostering gender inclusion in leadership roles. The regulation builds on previous milestones in the UAE’s journey towards gender equality, ensuring that women have a voice in decision-making processes at the highest levels of private enterprise.
The It has been steadily increasing women’s participation in various sectors. In 2018, the late President Sheikh Khalifa bin Zayed Al Nahyan directed authorities to reserve 50 percent of the seats for women in the Federal National Council. In 2020, another significant legal change ensured equal pay for men and women performing the same job. This new regulation targeting corporate boards represents yet another key step in advancing women’s rights and inclusion.
Economic Growth and Women in Business
Women in the It have made significant strides in the business and commercial sectors. As of August 2024, Emirati women held 135,171 commercial licenses, reflecting a 23 percent increase compared to the end of 2023. These statistics demonstrate the growing influence and leadership of women in the UAE’s economy, paving the way for more inclusive growth.
Abdullah bin Touq Al Marri, the It Minister of Economy, emphasized that the move aligns with the nation’s broader vision of gender balance. “The decision will further facilitate the UAE’s vision of fostering gender balance and ensuring that women play an integral role in shaping the future of our economy,” he said. The new rule is expected to open up greater opportunities for women in leadership, while also promoting more diverse and representative corporate governance.
Leadership and Advocacy for Gender Equality
The announcement has been supported by leading figures in the UAE’s gender equality movement. Sheikha Mona Ghanem Al Marri, Vice President of the It Gender Balance Council, pointed to the leadership of Sheikha Manal bint Mohammed bin Rashid Al Maktoum, President of the UAE Gender Balance Council, as instrumental in making the decision a reality. “This move is a direct result of the visionary leadership and continued efforts of Sheikha Manal, who has always advocated for the critical role women play in society and the economy,” Al Marri stated.
The UAE Gender Balance Council has been central to advancing policies and initiatives aimed at reducing gender disparities in both the public and private sectors. Through these efforts, the UAE has consistently ranked as a regional leader in gender equality and empowerment.
A Future of Inclusivity and Leadership
The introduction of mandatory women’s representation on corporate boards signals the It readiness to lead the way in gender equality, not only in the Middle East but on the global stage. This decision sets a strong example for the private sector to follow, encouraging firms to prioritize inclusivity and diversity at all levels of leadership.
As the UAE moves towards 2025, this latest initiative reflects a broader shift in the nation’s approach to empowering women, ensuring that they have the opportunity to contribute to the country’s continued growth and success.
