The UAE has outlined regulations for fundraising ahead of Ramadan, imposing fines of up to $54,000 for infringements.
The Ministry of Community Development clarified that authorised charitable associations complying with Federal Law No. 3 of 2021 are permitted to collect donations within the country. The law aims to protect donor funds from exploitation and ensure they reach the intended recipients.
In preparation for Ramadan, the Ministry urges donors to verify the authorisation of entities collecting donations, emphasizing adherence to the Fundraising Regulatory Law.
Mohammed Naqi, Director of Non-Benefit Public Associations Department, emphasized the law’s role in safeguarding funds and promoting humanitarian and charitable efforts. He urged community members to follow the regulations to prevent exploitation or misuse of funds unrelated to charitable work.
The law defines clear conditions for fundraising, permitting only authorized entities to collect donations. It prohibits individuals from engaging in fundraising activities without proper authorization. The Ministry and local authorities monitor the non-benefit public sector to ensure compliance and prevent legal violations.
Authorized entities can collect donations through various methods, including cash, in-kind, or digital means. The law specifies conditions for collecting donations through different channels, such as funds, paid vouchers, SMS text messages, exhibitions, auctions, charity events, and more.
Regarding Ramadan traditions, the law permits support within permissible limits, emphasizing community values in helping those in need. It allows activities like preparing and distributing food, clothing, zakat, donating to charitable organizations, depositing donations in public boxes, and distributing iftar meals in mosques and neighborhoods.
Prohibited actions include responding to unlicensed campaigns, collecting donations for financial speculations, and distributing revenues to members and employees. Violators face imprisonment and fines, with penalties doubled for entities falsely claiming charitable or humanitarian status without proper certification, according to Arabian Business.