Safe driving should be made part of the school curriculum and learner drivers must be restricted from using powerful cars, if rules allowing 17-year-olds behind the wheel come into fruition, experts have said as sweeping new traffic laws are set to come into force from March 2025.
In the recent announcement, authorities said that a new federal decree law “sets the conditions for issuing a driving licence, including reaching the age of 17". While this does not confirm that the driving age for cars will be lowered to 17, it does make it a possibility.
The UAE's current laws state that when a person reaches 17.5 years, they are able to enrol in a driving course and start lessons when they turn 18. For motorbikes and people with special needs the legal age to start driving is 17, whereas motorists must turn 20 before they can operate heavy vehicles and tractors, and 21 to drive a bus.
Busier roads
Lowering the driving age could potentially result in busier roads while introducing new motorists who are more at risk of accidents.
Ministry of Interior data on traffic accidents showed that of the 352 road deaths in 2023, 45 per cent were of people aged 29 or younger, while government statistics also showed 16 per cent of major accidents involved new driving licence holders.
Road Safety UAE’s founder Thomas Edelmann said young people were three times more likely to be involved in fatal road accidents than older drivers, and more likely to flout the rules of the road.
“We have seen from behaviour research, that young motorists have the feeling of being invincible and score worst versus the average age in terms of pretty much all misbehaviour,” said Mr Edelmann. “This includes lower levels of seat belt use, more speeding, more tailgating, less use of the indicator and more distracted driving.
“The young driver segment is the most vulnerable one. Just lowering the legal driving age is not going to improve the situation. We need a better driving school education, which ideally must start in schools, like in many other countries with low driving age limits.”
Other control measures, such as limits on the size of engine young drivers are allowed to operate and rewards for safe driving could help to curb collisions.
“We also need a staged driving licence with limits to size and performance of vehicles and only after a certain number of years should the licence to be upgraded to a full licence, and only based on a 'clear sheet’, with no violations,” said Mr Edelmann.
“In many other countries with licensing below 18 years, novice drivers must be accompanied by an adult who has had the driving licence for a long period. Mandatory safe driving apps should be used for young drivers too, as this is place driven by the insurance companies in many countries.”
National traffic standards
Under Article 47 of the decree-law, other changes include establishing a Federal Traffic Council to align national standards. The body could bring into line more consistency with traffic signs, speed limits, the appearance of roads and national road safety campaigns.
Driving under the influence of alcohol and drugs was also cited in the new regulations, with penalties given as firm monetary amounts in contrast to the past, when it would be decided by the court.
Article 35 states whoever drives or attempts to drive a vehicle on the road while under the influence of alcohol shall be punished by imprisonment and a minimum fine of Dh20,000, potentially rising to Dh100,000.
A driver’s licence would be suspended for at least three months for a first offence, six months if it is a second violation and the licence will be cancelled for a third breach.
Minimum penalties for driving under the influence of drugs are imprisonment and a Dh30,000 fine rising to Dh200,000 and a driving suspension of at least six months.
High insurance
In the UAE, you insure the car not the person, but insurers said novice drivers should still expect to pay the highest premiums for vehicles taking to the road for the first time.
Toshita Chauhan, business head for Health and Motor Insurance at Policybazaar.ae said lowering the legal driving age was likely to impact car insurance premiums due to the increased risk of accidents. “Insurers typically consider younger drivers higher risk due to lack of driving experience,” he said.
“Lowering the driving age to 17 would likely increase insurance premiums for this age group compared to older drivers as they have even less experience than those 18 and above. In the UAE, car insurance premiums for young drivers under 25 tend to be higher due to these increased risk factors.
“Insurers may adjust premiums further to account for the additional risk of younger drivers, potentially introducing specific age-related surcharges or requiring additional safety courses for those aged 17.”
Insurance premiums are likely to vary across providers based on their specific underwriting policies and risk assessments. Typically, car insurance for drivers is currently around 2.5 per cent of a car’s worth, if the vehicle value is Dh100,000 or under.
For young, newly qualified drivers the premium is around three per cent, and that could be even higher for 17-year-olds. Without any safe driving history, insurers are unable to pass on any previous no-claims discounts.
“The change in driving age to 17 introduces younger, less experienced drivers to UAE roads, a group that statistically shows higher accident rates,” said Muralikrishnan Raman, chief financial officer at Al Wathba Insurance.
“As insurers, we may need to adjust premiums accordingly to account for these factors, ensuring that younger drivers have well-balanced coverage. Road safety campaigns and mandatory defensive driving programmes are also vital in supporting this demographic’s transition to safe driving.”
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Why it pays to compare
A comparison of sending Dh20,000 from the UAE using two different routes at the same time - the first direct from a UAE bank to a bank in Germany, and the second from the same UAE bank via an online platform to Germany - found key differences in cost and speed. The transfers were both initiated on January 30.
Route 1: bank transfer
The UAE bank charged Dh152.25 for the Dh20,000 transfer. On top of that, their exchange rate margin added a difference of around Dh415, compared with the mid-market rate.
Total cost: Dh567.25 - around 2.9 per cent of the total amount
Total received: €4,670.30
Route 2: online platform
The UAE bank’s charge for sending Dh20,000 to a UK dirham-denominated account was Dh2.10. The exchange rate margin cost was Dh60, plus a Dh12 fee.
Total cost: Dh74.10, around 0.4 per cent of the transaction
Total received: €4,756
The UAE bank transfer was far quicker – around two to three working days, while the online platform took around four to five days, but was considerably cheaper. In the online platform transfer, the funds were also exposed to currency risk during the period it took for them to arrive.
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UAE currency: the story behind the money in your pockets
Muslim Council of Elders condemns terrorism on religious sites
The Muslim Council of Elders has strongly condemned the criminal attacks on religious sites in Britain.
It firmly rejected “acts of terrorism, which constitute a flagrant violation of the sanctity of houses of worship”.
“Attacking places of worship is a form of terrorism and extremism that threatens peace and stability within societies,” it said.
The council also warned against the rise of hate speech, racism, extremism and Islamophobia. It urged the international community to join efforts to promote tolerance and peaceful coexistence.
White hydrogen: Naturally occurring hydrogen
Chromite: Hard, metallic mineral containing iron oxide and chromium oxide
Ultramafic rocks: Dark-coloured rocks rich in magnesium or iron with very low silica content
Ophiolite: A section of the earth’s crust, which is oceanic in nature that has since been uplifted and exposed on land
Olivine: A commonly occurring magnesium iron silicate mineral that derives its name for its olive-green yellow-green colour
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UK’s AI plan
- AI ambassadors such as MIT economist Simon Johnson, Monzo cofounder Tom Blomfield and Google DeepMind’s Raia Hadsell
- £10bn AI growth zone in South Wales to create 5,000 jobs
- £100m of government support for startups building AI hardware products
- £250m to train new AI models
COMPANY PROFILE
Name: HyperSpace
Started: 2020
Founders: Alexander Heller, Rama Allen and Desi Gonzalez
Based: Dubai, UAE
Sector: Entertainment
Number of staff: 210
Investment raised: $75 million from investors including Galaxy Interactive, Riyadh Season, Sega Ventures and Apis Venture Partners
THE BIO:
Favourite holiday destination: Thailand. I go every year and I’m obsessed with the fitness camps there.
Favourite book: Born to Run by Christopher McDougall. It’s an amazing story about barefoot running.
Favourite film: A League of their Own. I used to love watching it in my granny’s house when I was seven.
Personal motto: Believe it and you can achieve it.
Mercer, the investment consulting arm of US services company Marsh & McLennan, expects its wealth division to at least double its assets under management (AUM) in the Middle East as wealth in the region continues to grow despite economic headwinds, a company official said.
Mercer Wealth, which globally has $160 billion in AUM, plans to boost its AUM in the region to $2-$3bn in the next 2-3 years from the present $1bn, said Yasir AbuShaban, a Dubai-based principal with Mercer Wealth.
“Within the next two to three years, we are looking at reaching $2 to $3 billion as a conservative estimate and we do see an opportunity to do so,” said Mr AbuShaban.
Mercer does not directly make investments, but allocates clients’ money they have discretion to, to professional asset managers. They also provide advice to clients.
“We have buying power. We can negotiate on their (client’s) behalf with asset managers to provide them lower fees than they otherwise would have to get on their own,” he added.
Mercer Wealth’s clients include sovereign wealth funds, family offices, and insurance companies among others.
From its office in Dubai, Mercer also looks after Africa, India and Turkey, where they also see opportunity for growth.
Wealth creation in Middle East and Africa (MEA) grew 8.5 per cent to $8.1 trillion last year from $7.5tn in 2015, higher than last year’s global average of 6 per cent and the second-highest growth in a region after Asia-Pacific which grew 9.9 per cent, according to consultancy Boston Consulting Group (BCG). In the region, where wealth grew just 1.9 per cent in 2015 compared with 2014, a pickup in oil prices has helped in wealth generation.
BCG is forecasting MEA wealth will rise to $12tn by 2021, growing at an annual average of 8 per cent.
Drivers of wealth generation in the region will be split evenly between new wealth creation and growth of performance of existing assets, according to BCG.
Another general trend in the region is clients’ looking for a comprehensive approach to investing, according to Mr AbuShaban.
“Institutional investors or some of the families are seeing a slowdown in the available capital they have to invest and in that sense they are looking at optimizing the way they manage their portfolios and making sure they are not investing haphazardly and different parts of their investment are working together,” said Mr AbuShaban.
Some clients also have a higher appetite for risk, given the low interest-rate environment that does not provide enough yield for some institutional investors. These clients are keen to invest in illiquid assets, such as private equity and infrastructure.
“What we have seen is a desire for higher returns in what has been a low-return environment specifically in various fixed income or bonds,” he said.
“In this environment, we have seen a de facto increase in the risk that clients are taking in things like illiquid investments, private equity investments, infrastructure and private debt, those kind of investments were higher illiquidity results in incrementally higher returns.”
The Abu Dhabi Investment Authority, one of the largest sovereign wealth funds, said in its 2016 report that has gradually increased its exposure in direct private equity and private credit transactions, mainly in Asian markets and especially in China and India. The authority’s private equity department focused on structured equities owing to “their defensive characteristics.”
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In Search of Mary Shelley: The Girl Who Wrote Frankenstein
By Fiona Sampson
Profile
Learn more about Qasr Al Hosn
In 2013, The National's History Project went beyond the walls to see what life was like living in Abu Dhabi's fabled fort:
What sanctions would be reimposed?
Under ‘snapback’, measures imposed on Iran by the UN Security Council in six resolutions would be restored, including:
- An arms embargo
- A ban on uranium enrichment and reprocessing
- A ban on launches and other activities with ballistic missiles capable of delivering nuclear weapons, as well as ballistic missile technology transfer and technical assistance
- A targeted global asset freeze and travel ban on Iranian individuals and entities
- Authorisation for countries to inspect Iran Air Cargo and Islamic Republic of Iran Shipping Lines cargoes for banned goods
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Our family matters legal consultant
Name: Hassan Mohsen Elhais
Position: legal consultant with Al Rowaad Advocates and Legal Consultants.
Tightening the screw on rogue recruiters
The UAE overhauled the procedure to recruit housemaids and domestic workers with a law in 2017 to protect low-income labour from being exploited.
Only recruitment companies authorised by the government are permitted as part of Tadbeer, a network of labour ministry-regulated centres.
A contract must be drawn up for domestic workers, the wages and job offer clearly stating the nature of work.
The contract stating the wages, work entailed and accommodation must be sent to the employee in their home country before they depart for the UAE.
The contract will be signed by the employer and employee when the domestic worker arrives in the UAE.
Only recruitment agencies registered with the ministry can undertake recruitment and employment applications for domestic workers.
Penalties for illegal recruitment in the UAE include fines of up to Dh100,000 and imprisonment
But agents not authorised by the government sidestep the law by illegally getting women into the country on visit visas.
