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E-Commerce Legal Framework In The UAE

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The role of TRA in e-commerce in the UAE …

The role of TRA in e-commerce in the UAE

For more information on this presentations visit The Internet Show ME 2011: http://www.terrapinn.com/exhibition/internet-show-middle-east/


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  • 1. E-Commerce Legal Framework In The UAE The Role of the TRA in E-Commerce in the UAE Basema Aljaberi Senior eCommerce Officer
  • 2. Agenda 1. Federal Law No.(1) of 2006 On electronic Commerce and Transaction; 2. ecommerce Law Objectives 3. ecommerce Regulations Development 4. Licensing and Regulating ecommerce; 5. Despite…Recession! 6. Under Development ecommerce Regulations 7. Benefits Page 2
  • 3. Federal Law No. (1) of 2006 On electronic Commerce and Transaction Page 3
  • 4. eCommerce Law Objectives • Protect the rights of persons conducting business electronically and define their obligations. • Encourage and facilitate Electronic Transactions and Communications by means of reliable Electronic Records. • Facilitate and eliminate barriers to Electronic Commerce and other Electronic Transactions, and promote the development of the legal and business infrastructure necessary to implement secure Electronic Commerce. • Minimize the incidence of forged Electronic Communications, alteration of Communications and fraud in Electronic Commerce and other Electronic Transactions. • Establish uniform rules, regulations and standards for the authentication and validity of Electronic Communications. • Promote public confidence in the validity, integrity and reliability of Electronic Transactions, Communications and Records. • Promote the growth of Electronic Commerce and other transactions on the national and international level through the use of Electronic Signatures. Page 4
  • 5. E-Commerce Legal Regulatory Development1. First Generation of Legal / Regulatory Development • Main theme: Establishing the regulatory framework • Developing licensing framework2. Second Generation of Legal / Regulatory Development • Main theme: Strengthening the Public Trust and Credibility of E-Commerce • Developing Regulatory framework • Issuing regulations for online consumer protection, privacy, IPR protection, etc.3. Third Generation of Legal / Regulatory Development • Main theme: Contributing to the development of the Digital Economy of the UAE • Research • Consumer and e-business education and awareness • Further development of regulatory framework • Monitoring compliance Page 5
  • 6. Cabinet Decision • A Federal Law by Decree No. 1 of 2006 pertaining to Ecommerce was published in the Official Gazette of the United Arab Emirates, Volume 442, 36th Year, Muharam 1427 H/January 2006 • Shortly thereafter the TRA has been entrusted by the Supreme Committee with regulatory powers to develop, regulate and monitor all that is pertaining to electronic transactions and commerce including but not limited to electronic records, documents, and signatures relating to electronic transactions and commerce! Page 6
  • 7. Hybird model Outlining relevant policy considerations, roadmap and ecommerce regulatory regime framework options Regulatory Spectrum Prescriptive Regimes Minimalist Regimes Hybrid (Moderate) Regimes UAE Chooses?Hybrid Regimes• These approaches strive to achieve a balance among policy considerations, support economic growth and technological innovation and satisfy market interests.• Hybrid regimes act as effective catalysts for the promotion of trusted eCommerce, within a region and on the global stage.• They are congruent with international trends. Page 7
  • 8. Licensing & Regulating CSP CSP Controller (TRA) Certificates service provider CSP CSP CSP Digital certificatesLicensing the CSP involves 4 steps: Obtain a CSP Submit license application Application along Review by the with required Final decision TRA documents Page 8
  • 9. Despite… Recession! Page 9
  • 10. Scale of Strategy ConcernsUNCTAD E-Commerce and Development Report Developing • Basic telecommunications and access to the Internet • Human capacity building Countries • Affordable access (PCs) • National ICT Policy and Plan • Appropriate software (legal, low cost) • Local language enabled; local content • Portal sites; e-Government – government facilitation • Standards in manufacturing, safety, health • IT Laws (e-transactions, e-signatures, computer crime) • Security - information, system, network • Authentication and certification (PKI, CSPs) • Broadband access (business, home) • IT human resources development • Regional networking • Liberalization • e-Marketplaces; e-Payment infrastructure • Consumer Protection; Privacy protection Developed • Cross-border certification Countries • Intellectual property rights protection Page 10
  • 11. Current Position of the UAE - SuccessesDeveloping • Basic telecommunications and access to the Internet • Human capacity buildingCountries • Affordable access (PCs) • National ICT Policy and Plan • Appropriate software (legal, low cost) • Local language enabled; local content • Portal sites; e-Government – government facilitation • Standards in manufacturing, safety, health • IT Laws (e-transactions, e-signatures, computer crime) • Security - information, system, network • Authentication and certification (PKI, CSPs) • Broadband access (business, home) • IT human resources development • Regional networking • Liberalization • e-Marketplaces; e-Payment infrastructure • Consumer Protection; Privacy protectionDeveloped • Cross-border certificationCountries • Intellectual property rights protection Page 11
  • 12. Current Position of the UAE - GapsDeveloping • Basic telecommunications and access to the Internet • Human capacity buildingCountries • Affordable access (PCs) • National ICT Policy and Plan • Appropriate software (legal, low cost) • Local language enabled; local content • Portal sites; e-Government – government facilitation • Standards in manufacturing, safety, health • IT Laws (e-transactions, e-signatures, computer crime) • Security - information, system, network • Authentication and certification (PKI, CSPs) • Broadband access (business, home) • IT human resources development • Regional networking • Liberalization • e-Marketplaces; e-Payment infrastructure • Consumer Protection; Privacy protectionDeveloped • Cross-border certificationCountries • Intellectual property rights protection Page 12
  • 13. UAE eReadiness Maturity 8.00 7.00 6.00 5.00 2008 2009 4.00 2010 3.00 2.00 Connect. Bus. En. S&C En. Legal En. Gv.&P. Con.&Bus. Vision Adp.* EIU eReadiness Reports 2008/2009/2010 Page 13
  • 14. MaterCard Survey (UAE) ecommerce Sector Per. (%) Airline Tickets 59 Home Appliances & Electronic 37 Products Hotel Accommodation Online 30 * Master Card survey indicates the above finding were reached by the fourth Quarter of 2008.* MasterCard Online shopping Reports 2008 Page 14
  • 15. Under Development eCommerce Regulations Page 15
  • 16. UAE E-Businesses and Consumers Currently there is massive movement toward developing regulations: • e-payment or m-payment methods; • electronic transactions and communications; • online consumer protection; • online data and privacy protection; or • online intellectual property rights protection. Page 16
  • 17. Benefits • Provides regulatory certainty for online consumers and businesses; • Provides protection for online consumers and businesses; • Contributes to growth of sustainable digital economy in the UAE; • Raises the profile of the UAE and promotes the UAE as a favorable environment for e-businesses; and • Revised organization structure provides a career path for e-commerce officers. Page 17
  • 18. Thank you.