The Department of Municipalities and Transport (DMT) has issued an administrative decision that includes a series of legislative amendments aimed at strengthening Abu Dhabi’s construction sector and enhancing its appeal to investors. These reforms are designed to streamline regulatory processes, address challenges, and foster growth in the Emirate’s urban development and infrastructure projects.
This decision follows a series of meetings held by the Department with local and international firms specialising in construction and contracting, as part of its ongoing commitment to improving the licensing framework for engineering professions. Through extensive discussions, DMT identified key challenges faced by engineering organisations and created targeted solutions to enhance their operational efficiency and competitiveness while supporting the delivery of projects that meet global standards for sustainability and innovation.
Key amendments include simplifying classification requirements for engineering firms to enable them to meet necessary criteria more efficiently. This initiative aims to support both local and international companies and enhance their ability to contribute to the advancement of construction projects across the Emirate while adhering to the highest benchmarks of quality and environmental sustainability.
Furthermore, the reforms eliminate the dual activity requirement for higher-category classifications, creating more opportunities for engineering establishments and broadening their capabilities. They also enable the transfer of expertise from branches in other emirates to Abu Dhabi, while allowing local organisations and branches from other emirates or Gulf countries to apply directly for higher-category classifications based on their experience and qualifications.
The new regulations allow the use of expertise from local legal partners or those from other emirates to ensure continuity of operations for engineering establishments, further enhancing compliance with classification standards. Moreover, the amendments reduce project value requirements for locally owned engineering establishments operated by Emirati investors, simplifying classification renewal processes and supporting growth without compromising industry standards.
Another key update enables establishments to modify their classification category prior to the expiration of their professional license, ensuring alignment with their expertise and capabilities early in the process. Additionally, the validity of annual financial reports for classification purposes has been extended to one year and six months, facilitating business continuity and addressing concerns raised by project owners regarding delays in project completion.
The reforms build on a series of targeted initiatives launched by the Department last year to strengthen the construction sector. Among its efforts was the implementation of detailed quarterly evaluations of engineering establishments — including consultancy offices and contracting firms — based on rigorous criteria such as performance metrics, resource optimisation, technical expertise, work quality, and administrative efficiency. These measures aim to elevate the standard of engineering services across the Emirate and drive improvements in overall sector performance.
His Excellency Eng Abdulla Mohamed Al Blooshi, Acting Director General of the Urban Planning & Permits Centre at DMT, said: "This decision aligns with our strategy to support the construction sector and enhance market competitiveness. By streamlining regulatory requirements and offering effective support, we aim to improve project quality, foster sustainable growth, and establish Abu Dhabi as a hub for business excellence.”
The Department emphasised that these reforms reflect its ongoing commitment to drive economic growth, attract investment, and solidify Abu Dhabi’s position as a global hub for innovation and progress.