“In a cabinet meeting I chaired in Abu Dhabi, we approved 100% foreign ownership in 122 economic activities,” UAE vice president and prime minister Sheikh Mohammed Rashed Al-Maktoum said on Twitter.

The decision abolishes a decades-old law that limits foreign ownership to just 49%.

The move covers “fields including agriculture, manufacturing, renewable energy, e-commerce, transportation, arts, construction and entertainment,” Sheikh Mohammed added.

The seven Sheikhdoms that comprise the UAE will have the discretion to specify their own ceilings for foreign ownership of key business sectors, a government statement said.

To dodge the 49% limit, some emirates led by Dubai have long established free trade zones where foreigners can own up to 100% of their business.

Sheikh Mohammed said Tuesday’s decision opens the UAE economy to all nationalities so as “to make it one of the best destinations for global investments.”

The cabinet decision essentially opens up 13 major economic sectors in the Arab world’s second largest and most diversified economy.

The capital Abu Dhabi sits on the majority of the UAE’s vast oil reserves and pumps close to three million barrels per day.

The UAE is already the Arab world’s top recipient of foreign direct investment, attracting more than US$11 billion last year.

But economic growth was lacklustre last year, registering 1.3%.

To counter the slowdown, authorities have introduced a range of measures, including permanent residency schemes.

Expatriates, mostly Asians, form some 90% of UAE’s population of 10 million.