Last reviewed: November 2026. This brief summarises the sustainability, ESG disclosure and corporate governance landscape in United Arab Emirates for boards, sustainability teams and investor-relations professionals. It is an orientation guide, not legal advice.
Rules, thresholds and deadlines change frequently, and several frameworks described here were being revised at the time of writing. Always confirm the current position with the official source (regulator, exchange or ministry) before relying on any requirement.
Overview
The United Arab Emirates combines a federal onshore regime with financial free zones (DIFC and ADGM) that have their own regulators and rulebooks. After hosting COP28 in 2023, the UAE has moved from voluntary climate pledges to binding rules: a federal climate law with emissions reporting obligations entered into force in 2025, and the federal capital market framework was overhauled with effect from 1 January 2026.
Regulators and stock exchange
- Capital Market Authority (CMA) – the federal securities regulator. Under Federal Decree-Law No. 32 of 2025, the former Securities and Commodities Authority (SCA) was renamed the Capital Market Authority with effect from 1 January 2026 and is its legal successor; a companion Decree-Law No. 33 of 2025 regulates the capital market.
- Central Bank of the UAE (CBUAE) – supervises banks and insurers onshore.
- DFSA (Dubai International Financial Centre) and FSRA (Abu Dhabi Global Market) – free-zone financial regulators.
- Exchanges: Abu Dhabi Securities Exchange (ADX), Dubai Financial Market (DFM) and Nasdaq Dubai.
- Ministry of Climate Change and Environment (MOCCAE) – lead ministry for climate policy and emissions measurement, reporting and verification.
ESG / sustainability disclosure requirements
Listed companies. The governance rules issued by SCA Board Chairman Decision No. 3/R.M. of 2020 require public joint stock companies listed in the UAE to publish an annual sustainability report, with reference to GRI and to the ESG guidance published by ADX or DFM. Following the 2026 reforms, check whether these provisions have been re-issued or replaced by the new CMA.
Climate law. Federal Decree-Law No. 11 of 2024 on the Reduction of Climate Change Effects entered into force on 30 May 2025 and applies to public and private entities, including in free zones. It requires entities to measure and report greenhouse gas emissions, keep records, and take reduction measures aligned with the national net-zero pathway, with penalties for non-compliance. Thresholds and reporting mechanics are set through implementing decisions (including emirate-level systems) and MOCCAE's national MRV system launched in 2025.
Commentators have reported moves towards ISSB-aligned reporting for listed companies; confirm any such requirement directly with the CMA.
Corporate governance code
The Joint Stock Companies Governance Guide (SCA Board Chairman Decision No. 3/R.M. of 2020, as amended) sets governance requirements for listed public joint stock companies: board composition, independence and diversity, committees, internal control, related-party transactions, remuneration and an annual governance report. Banks also follow CBUAE corporate governance regulations. Under the 2026 capital market reforms, the CMA may issue updated rules, so verify the current instrument.
Climate commitments
- Net zero: target year 2050 (UAE Net Zero by 2050 Strategic Initiative, announced in October 2021); a national net-zero pathway was presented at COP27.
- NDC 3.0: submitted in November 2024, targeting a 47% reduction in greenhouse gas emissions by 2035 compared with 2019.
- Hosted COP28 (Dubai, 2023), which produced the “UAE Consensus” including the call to transition away from fossil fuels in energy systems.
Sustainable finance
Regulators coordinate through the UAE Sustainable Finance Working Group, which has published principles on climate-related financial risk management and sustainability disclosure. ADGM's FSRA has a sustainable finance regulatory framework, and the DFSA has rules for green and sustainable products. Green bonds and sukuk are issued by banks, utilities and government-related entities. Lenders increasingly ask borrowers for emissions data that will also be required under the federal climate law.
Investor relations practice
The UAE has one of the most developed IR communities in the Middle East. Large ADX and DFM issuers hold quarterly earnings calls, publish bilingual (Arabic and English) disclosures and maintain detailed IR websites. Exchanges run IR and ESG awareness programmes, and the regional Middle East Investor Relations Association (MEIRA) promotes professional standards. Sustainability reports, ESG ratings and climate targets are now regular topics in investor meetings, particularly for companies in MSCI and FTSE emerging-market indices.
What to watch
- New CMA rulebooks issued under the 2025 decree-laws, including governance and sustainability disclosure.
- Implementing decisions under the federal climate law: reporting thresholds, verification and deadlines.
- Any formal adoption of IFRS S1/S2 for listed companies.
- Sector decarbonisation targets in the NDC 3.0 and national net-zero strategy.
Official sources
- Capital Market Authority (formerly SCA)
- Ministry of Climate Change and Environment
- MOCCAE – National Net Zero by 2050 pathway
- Abu Dhabi Securities Exchange (ADX)
- Dubai Financial Market (DFM)
- ADGM
- DFSA
Last reviewed: November 2026. Corprise Knowledge Hub briefs are updated periodically; if you notice a change in the rules, check the official source first.
