The Abu Dhabi Department of Economic Development (ADDED) emphasised that the decision requiring licensed economic establishments and social media influencers to obtain a licence from the department to engage in advertising services will come into effect from 1st July.

In response to questions from the Emirates News Agency (WAM), ADDED said that the imposition of penalties and fines, which can reach up to 10,000 AED and may even include the closure of the businesses, will also start from early July following the implementation of the decision.

Regarding the cost of obtaining a licence to practise advertising services, the department stated that the licence fee is AED1,250 for individual establishments and AED5,000 for businesses.

As for the mechanism for applying for the licence, the department explained that businesses and social media influencers can easily submit a request for licences and permits through the unified digital platform TAMM by accessing the ADDED Services and selecting the activities they wish to engage in, including advertising services on e-platforms.

ADDED indicated that foreigners from outside the UAE can obtain a licence to practise this activity, provided they have an Emirates ID card or a UAE Unified Number.

ADDED noted that according to the decision, there are no exceptions for government companies, which are included among the entities operating in the emirate and benefit from or practise advertising services via electronic platforms.

The department clarified that branches of companies from outside the emirate of Abu Dhabi must obtain the necessary permits from ADDED to practise the activity.

ADDED emphasised that having a permit from the UAE Media Council does not exempt social media influencers from obtaining the necessary licences and permits from ADDED to practise advertising services via electronic platforms, to avoid fines and penalties for violators.

The department stated that there are currently 543 licences for practising advertising services on electronic platforms and social media, with the number expected to increase after the decision comes into effect.

ADDED has called on all economic establishments and social media influencers to comply and adhere to the requirement for social media influencers to obtain a licence from the department to practise advertising services via electronic platforms.

It also pointed out that non-compliance with regulations and conditions when contracting with influencers and social media sites will expose influencers to the stipulated penalties and fines.

Fines will range from AED3,000 and up to AED10,000. Non-compliance may even lead to business closure for disregarding ADDED's circulars.

This decision is in line with ADDED's efforts to enhance and create an ideal economic environment for businesses in the emirate, to regulate this sector, and to protect consumer rights.