Abu Dhabi To Enforce Licensing For Social Media Advertising From July

The Abu Dhabi Department of Economic Development (ADDED) has announced that starting 1st July, licensed economic establishments and social media influencers must obtain a licence from the department to engage in advertising services. This decision aims to regulate the sector and protect consumer rights.

According to ADDED, penalties and fines for non-compliance will also commence in early July. These fines can reach up to AED10,000 and may include business closures. The cost of obtaining a licence is AED1,250 for individual establishments and AED5,000 for businesses.

Businesses and social media influencers can apply for licences through the unified digital platform TAMM. By accessing ADDED Services on TAMM, applicants can select the activities they wish to engage in, including advertising services on electronic platforms.

Foreigners outside the UAE can also obtain a licence, provided they have an Emirates ID card or a UAE Unified Number. There are no exceptions for government companies; all entities operating in the emirate must comply with this requirement.

Branches of companies from outside Abu Dhabi must obtain the necessary permits from ADDED to practise advertising activities within the emirate. Additionally, having a permit from the UAE Media Council does not exempt social media influencers from obtaining ADDED licences.

Current Licences and Compliance

Currently, there are 543 licences for practising advertising services on electronic platforms and social media. This number is expected to increase after the decision comes into effect. ADDED has urged all economic establishments and social media influencers to comply with these new regulations.

Non-compliance with regulations when contracting with influencers will expose them to penalties ranging from AED3,000 to AED10,000. Persistent non-compliance may lead to business closures.

Objective of the Decision

This decision aligns with ADDED's efforts to create an ideal economic environment in Abu Dhabi. It aims to regulate the advertising sector and ensure consumer protection.

With inputs from WAM