The UAE Ministry of Economy has announced a new mandate requiring private joint-stock companies to include women on their boards of directors, starting in January 2025. The decision aims to enhance female representation in leadership roles across the corporate sector. Under the newly issued Ministerial Resolution No.137 of 2024, companies will need to appoint at least one woman to their board after the current terms expire.
Photo: Pual Farnham. Vogue Arabia, January 2022
The new law builds upon a history of progressive measures aimed at promoting gender equality in the UAE. In 2021, the UAE Securities and Commodities Authority introduced a similar policy for public joint-stock companies listed on the Abu Dhabi and Dubai stock exchanges, requiring at least one seat on the board to be allocated to women. This move, which targets both private and public companies, reflects the government’s broader commitment to achieving gender balance in corporate leadership and governance.
The UAE has been actively pursuing gender equality in various sectors for several years. In 2018, the late President Sheikh Khalifa bin Zayed Al Nahyan instructed authorities to ensure that women occupy 50% of the seats in the Federal National Council, and a 2020 decree mandating equal pay for men and women performing the same jobs. Sheikha Manal bint Mohammed bin Rashid Al Maktoum, President of the UAE Gender Balance Council, has also played a pivotal role in advancing these efforts, with her initiatives aiming to have 30% of leadership positions held by women by 2025.
The government’s efforts to create a more inclusive corporate environment will likely continue, with further initiatives aimed at promoting gender diversity and equality in other sectors. The new regulation is seen as a crucial step in closing the gender gap in corporate leadership and empowering women in business, and the mandatory inclusion of women on boards is a bold step forward, one that is expected to pave the way for future generations of female leaders in the UAE.
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