Qatar continues to modernize its business environment, aligning its company formation laws with international best practices under the Qatar National Vision 2030 strategy. In 2025, several new regulations and amendments will come into force, making the process of company formation in Qatar more transparent, flexible, and investor-friendly. These updates strengthen the country¡¯s appeal as a global hub for trade, investment, and innovation.
Legal Framework & Corporate Structures
The Commercial Companies Law (Law No. 11 of 2015), amended by Law No. 8 of 2021, remains the foundation for company ownership, governance, and restructuring. Various business structures are recognized, including Limited Liability Companies (LLCs), public and private joint stock companies, partnerships, joint ventures, and shareholding companies.
One of the most significant reforms is that foreign investors may now own 100% of a company in many sectors, removing the traditional requirement for a Qatari partner. This is particularly applicable in Free Zones and under the Foreign Investment Law, where approvals are granted based on sector-specific regulations.
Key Updates for 2025
1. Foreign Investment Law Refinements
Foreign investors can now own 100% of businesses in previously restricted sectors. However, approvals from the Ministry of Commerce and Industry are still required, and strategic industries remain subject to limitations.
2. Tax & Regulatory Alignment
Amendments to the Income Tax Law (Law No. 24 of 2018) through Law No. 22 of 2024 introduced stronger anti-avoidance measures and aligned Qatar with OECD¡¯s BEPS standards. Companies must also demonstrate real operations in Qatar, with adequate staffing and expenses, to qualify for favorable tax treatment.
3. Nationalisation & Local Workforce Rules
Employers are now required to prioritize hiring, training, and promoting Qatari nationals in designated positions. Workforce reporting and compliance with quotas are mandatory for private sector companies.
4. Sector-Specific Changes
Travel & Air Freight: Law No. 3 of 2025 eliminates the 51% Qatari/GCC ownership requirement, allowing full foreign ownership.
Real Estate: Amendments introduce clearer rules for non-Qatari ownership, registration procedures, and developer obligations.
What This Means for Investors
- Greater Ownership Flexibility: Full foreign ownership reduces dependency on local sponsors and simplifies business operations.
- Enhanced Compliance Requirements: Stricter governance, reporting, and substance rules demand stronger corporate discipline.
- Long-Term Stability: Investor protections, profit repatriation, and updated tax laws make Qatar a predictable business destination.
- Focus on Local Employment: Companies must integrate workforce nationalisation into their HR strategies to remain compliant.
How RAG Global Business Hub Can Help
Navigating these changes requires expertise and local insight. RAG Global Business Hub specializes in company formation in Qatar, offering complete solutions for documentation, licensing, compliance, and approvals under the latest 2025 regulations. With RAG¡¯s support, investors can confidently establish and grow their businesses in Qatar¡¯s thriving market.
