Dubai has more than 20 free zones, but choosing one isn't always straightforward. Some cater to technology companies, others focus on international trade and a few specialise in e-commerce and logistics.
The Dubai Integrated Economic Zones Authority (DIEZ) brings three major economic zones under one regulatory umbrella: Dubai Airport Freezone, Dubai Silicon Oasis and Dubai CommerCity.
Established in 2021, DIEZ aims to make company formation, business expansion and investment easier by connecting these established business communities.
For entrepreneurs, the main advantage is choice. You can establish a technology startup, international trading company or online retail operation within an economic zone that matches your industry.
This guide explains what DIEZ is, the free zones it oversees, available licences, business setup requirements, costs and important regulations to consider in 2026.
What Is the Dubai Integrated Economic Zones Authority (DIEZ)?
The Dubai Integrated Economic Zones Authority is a government authority established under Dubai Law No. 16 of 2021. The law came into effect on January 1, 2022, bringing Dubai Airport Freezone and Dubai Silicon Oasis under an integrated regulatory framework. Dubai CommerCity also forms part of the authority's principal economic zone portfolio.
DIEZ is wholly owned by the Investment Corporation of Dubai (ICD). Its responsibilities include:
Registering and licensing businesses within its economic zones.
Developing commercial and industrial infrastructure.
Supporting foreign investment and international trade.
Encouraging startups, SMEs and technology companies.
Regulating permitted commercial activities.
Supporting innovation and economic diversification.
According to the official DIEZ website, the authority's economic zones collectively host thousands of businesses across more than 20 economic sectors.
DIEZ reported a 9% increase in registered companies during 2024, alongside an 18.4% increase in revenue compared with 2023. These figures reflect the authority's expanding commercial operations.
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The Three Major Free Zones Under DIEZ
DIEZ manages three distinct economic destinations. Although they share an overarching authority, each has different facilities, business communities and operating advantages.
- Dubai Airport Freezone (DAFZ)
Dubai Airport Freezone is located close to Dubai International Airport. It primarily serves businesses involved in international trade, logistics, distribution and professional services.
Its location is especially useful for companies that frequently move products internationally or need convenient access to airport cargo operations. DAFZ accommodates activities such as trading, import-export, warehousing, light manufacturing and certain professional services.
Available licence categories include trade, service, industrial, general trading and e-commerce licences. Specialised options and dual licensing arrangements are also available, subject to eligibility.
For example, a company importing electronics from Asia and distributing products to customers in the GCC could consider DAFZ for its trading and logistics requirements.
- Dubai Silicon Oasis (DSO)
Dubai Silicon Oasis is an integrated technology and business community supporting startups, established companies and international investors.
It has become particularly relevant for businesses working in software development, artificial intelligence, electronics, engineering and digital services.
DSO provides commercial offices, coworking facilities and spaces for companies with more specialised operational requirements.
Its licensing framework includes service, trade and industrial activities, depending on eligibility.
A software development company planning to hire engineers, establish a UAE office and serve international clients may find DSO suitable.
- Dubai CommerCity (DCC)
Dubai CommerCity focuses on e-commerce, digital trade and related logistics activities.
The free zone is designed for online businesses that need commercial premises, logistics facilities and access to regional markets.
It can be relevant for online retailers, digital commerce businesses, international brands and companies managing e-commerce distribution.
Consider an online beauty retailer importing products into Dubai and fulfilling orders for customers across the Middle East. Dubai CommerCity may offer a suitable operating environment, provided its licensing and facilities match the company's requirements.
Comparing the Three DIEZ Free Zones
Free Zone | Main Focus | Suitable Businesses |
Dubai Airport Freezone | International trade and logistics | Import-export, distribution and trading |
Dubai Silicon Oasis | Technology and innovation | IT, AI, software and engineering |
Dubai CommerCity | E-commerce and digital trade | Online retailers, digital brands and fulfilment businesses |
There isn't one universally better choice. A consulting startup with no inventory has different requirements from an international distributor needing dedicated storage space.
Compare your actual business activity, office needs, customer locations and operating costs before applying.
Benefits of Setting Up a Business Under DIEZ
100% Foreign Ownership
Eligible companies can have full foreign ownership without requiring a UAE national shareholder.
This gives international entrepreneurs greater control over ownership and management decisions.
Strategic Business Locations
Each zone serves a particular commercial purpose.
DAFZ offers airport proximity, DSO provides a technology-focused business community and Dubai CommerCity concentrates on digital commerce.
Choosing the right location can reduce operational complications.
Access to Modern Facilities
Depending on the zone and package, businesses may access serviced offices, coworking spaces, warehouses, industrial facilities or dedicated commercial premises.
Availability and lease terms differ between locations.
Corporate Tax Benefits for Eligible Companies
A DIEZ free zone company may qualify for a 0% UAE corporate tax rate on qualifying income if it satisfies the relevant conditions.
However, free zone registration does not automatically make every company's income tax-free.
International Business Opportunities
Companies operating within DIEZ can use Dubai as a base for international customers, suppliers and partners.
The appropriate arrangement depends on licensing permissions, customs regulations and where business activities actually take place.
Business Licence Types Available Under DIEZ
The licence you need depends on your proposed activity and chosen free zone. The main categories include:
Trade Licence: For permitted importing, exporting, distribution and trading activities.
Service Licence: For consultancy, technology, professional services and other approved service activities.
Industrial Licence: For approved manufacturing, assembly, processing and related industrial operations.
E-Commerce Licence: Available through relevant licensing arrangements for permitted online trading activities.
General Trading Licence: For businesses intending to trade multiple permitted categories of goods, subject to licence conditions.
Additional specialised licences may be available in certain zones. Not every licence category is available on identical terms throughout DIEZ. Check the approved activity list before choosing your company location.
How to Set Up a Company Under DIEZ in 2026
The application process differs slightly between DAFZ, DSO and Dubai CommerCity, but most applicants follow a similar sequence.
- Select Your Free Zone
Start by identifying your primary business activity.
If you are establishing a software company, DSO may deserve consideration. For international trading, DAFZ could be more suitable.
- Choose Your Business Activities
Identify exactly how the company will earn revenue.
For example, software development, IT consultancy and electronics trading may require different activity approvals.
Choosing the wrong activity can create difficulties when opening bank accounts or signing customer contracts.
- Select Your Legal Structure
Depending on the applicable regulations, eligible structures can include a Free Zone Company (FZCO) or a branch of an existing company.
The DIEZA Implementing Regulations 2023 provide further details about company structures and operating requirements.
- Prepare the Required Documents
Typical documents may include:
Passport copies of shareholders and directors.
Completed application forms.
Proposed company name and activities.
Business plan or letter of intent, where required.
Corporate documents for company shareholders.
Additional approvals for regulated activities.
Certain applications may require financial information or evidence of the proposed business operations.
- Obtain Initial Approval
Submit your application through the appropriate free zone registration channel.
The authority will review your proposed business activities, ownership information and supporting documents.
- Finalise Your Office or Facility
Select a workspace that meets your licensing requirements.
Some companies can operate from smaller offices, while others require warehouses, dedicated premises or industrial facilities.
- Receive Your Business Licence
After approval, payment and completion of the relevant agreements, the authority can issue your licence and registration documents.
The DSO setup process, for example, describes application submission, document review, fee payment, agreements and electronic licence issuance.
- Arrange Visas and Banking
Once the company is registered, complete the applicable immigration procedures and apply for a corporate bank account.
Bank approval is separate from business licensing. Read Nexture's UAE business bank account requirements guide to understand the documentation banks typically request.
How Much Does DIEZ Business Setup Cost in 2026?
There is no single fixed licence price covering all DIEZ free zones. The cost depends on your company structure, activities, location, premises and immigration requirements.
Cost Component | What Determines the Cost |
Company registration | Legal structure and registration requirements |
Trade licence | Activities and licence category |
Office or warehouse | Space type, size and lease agreement |
Establishment and immigration services | Applicable company and visa requirements |
Employee visas | Number of employees and immigration services |
Additional approvals | Regulated activities and external authorities |
Renewals | Annual licence and facility obligations |
As an illustrative budgeting exercise, a founder might allocate AED 20,000 for registration and licensing, AED 15,000 for workspace and AED 5,000 for immigration-related expenses. That produces an AED 40,000 planning budget. This is a hypothetical example, not an official DIEZ quotation or published starting price. Actual costs could differ substantially.
We’ll model the requirements and send back a single-page breakdown within 24 hours.
Can DIEZ Companies Operate in Dubai Mainland?
A free zone licence does not automatically authorise unrestricted commercial activity throughout Dubai mainland.
Businesses wishing to conduct regulated mainland operations may need an appropriate permit, mainland licence or branch arrangement.
DAFZ offers a dual licensing route with Dubai's Department of Economy and Tourism for eligible businesses. Dubai has also introduced a wider Free Zone Mainland Operating Permit framework, but eligibility and permissions must be checked for the relevant company and activities.
If most of your revenue will come from mainland customers, compare both structures before registering. Nexture's Dubai mainland vs free zone business setup guide explains the practical differences.
How Nexture Can Help With DIEZ Business Setup
Choosing between three economic zones can be difficult when each offers different licences, facilities and operating conditions.
Nexture Corporate Services can assist you with assessing suitable company formation options, reviewing documentation requirements, coordinating licensing procedures and planning related business setup services.
The goal is to select an arrangement that supports how your company will operate, rather than choosing a free zone based on a licence quotation alone.
Conclusion
The Dubai Integrated Economic Zones Authority brings together three established economic zones with distinct commercial advantages.
Dubai Airport Freezone serves international trading and logistics businesses. Dubai Silicon Oasis supports technology-led companies, while Dubai CommerCity focuses on e-commerce and digital trade.
For investors considering DIEZ business setup in 2026, the most important decisions are your licensed activities, target customers, operating premises and overall budget.
Review the requirements of each zone, obtain a detailed quotation and confirm your regulatory obligations before proceeding.
Frequently Asked Questions
What is DIEZ in Dubai?
DIEZ stands for Dubai Integrated Economic Zones Authority. It oversees Dubai Airport Freezone, Dubai Silicon Oasis and Dubai CommerCity under an integrated economic zone framework.
Is DIEZ a free zone?
DIEZ is the governing authority rather than one single business district. Its portfolio includes three major Dubai economic zones offering free zone company formation opportunities.
Can foreigners own 100% of a DIEZ company?
Yes. Eligible free zone company structures allow 100% foreign ownership, subject to applicable regulations.
What is the cost of a DIEZ business licence?
There is no universal DIEZ licence fee. Costs depend on your selected free zone, activity, legal structure, premises and additional requirements.
Are DIEZ companies exempt from corporate tax?
Not automatically. Eligible Qualifying Free Zone Persons may benefit from 0% corporate tax on qualifying income if all applicable conditions are met.
Which DIEZ free zone is suitable for technology startups?
Dubai Silicon Oasis is generally worth considering because of its technology-focused environment, office facilities and startup ecosystem. The final choice depends on the company's activities and operational requirements.
