New insolvency law approved for Dubai's DIFC

A new insolvency law has been introduced for companies operating in the Dubai International Financial Centre (DIFC).

It aims to ensure an efficient and effective bankruptcy restructuring regime by balancing the needs of all stakeholders.

It also provides for a new administration process where there is evidence of mismanagement or misconduct, in addition to enhancing the rules related to winding up procedures.

According to a statement from the Dubai Media Office, the new law was subject to substantial research and global benchmarking, as well as thorough public consultation.

It will come into effect on August 28.

.@HHShkMohd enacted a new @DIFC Insolvency Law, Law No. 1 of 2019, the Dubai International Financial Centre (DIFC), the leading international financial hub in the Middle East, Africa and South Asia (MEASA) region, has announced.https://t.co/t8pn3VQUQp pic.twitter.com/nLnJPuCDah

— Dubai Media Office (@DXBMediaOffice) June 11, 2019