Mohammad Ali Al-Sharafa, Chairman of the Securities and Commodities Authority, stated that the council oversaw 45 new listings in the UAE financial markets from 2021 to 2023, contributing over a trillion dirhams in market value. He highlighted that 35 companies were listed on the Abu Dhabi Securities Exchange and 10 on the Dubai Financial Market, emphasizing the positive impact of recent initiatives, legislation, and recommendations on market confidence and transparency, leading to increased investment momentum and vitality in both Abu Dhabi and Dubai financial markets, which is the highest in years.
The Board's Chairman emphasized that over the past three years, the Authority's Board introduced around 40 initiatives and projects, issued 13 new legislations, amended 39 existing legislations, and approved 18 legislations from local markets, including the Dubai Gold and Commodities Exchange, Dubai Clearing, and Dubai Depository Company. These efforts, along with numerous proposals, enhanced regulatory oversight and increased transparency in the local markets.
According to the report issued by the Authority, despite the global challenges posed by the COVID-19 pandemic, local financial markets achieved significant milestones in the three years. The following are key developments observed in the local financial markets from the beginning of 2021 until the end of November 2023:
The report issued by the Securities and Commodities Authority revealed that over the past three years, several measures were taken regarding financial violations detected by the Authority. This included issuing 363 warnings, 106 alerts, imposing 206 fines, referring 25 violators to the public prosecution, canceling 3 licenses, and suspending 7 violators from trading.
Abu Dhabi Securities Exchange
The general index of the Abu Dhabi Securities Exchange rose to its highest level since 2014, reaching 10,671.32 points in 2022, a remarkable increase of 111.51% compared to its closing level at the end of 2020, which was at 5,045.31 points. This surge was attributed to new listings and the recovery of the local economy.
Regarding the market capitalization of the Abu Dhabi Securities Exchange, it soared to approximately 2.88 trillion dirhams, marking a substantial increase of 287.78% compared to the market capitalization at the end of 2020, which was 742.58 billion dirhams. This remarkable growth was supported by the resurgence of new listings and the enhanced confidence of investors in the market.
Under the current administration of the Authority's board, the Abu Dhabi Securities Exchange witnessed 35 new listings, contributing nearly 800 billion dirhams to the market capitalization.
Dubai Financial Market
The general index of the Dubai Financial Market increased by 68.62%, closing at 4,201.84 points on October 3, 2023, marking the highest level since 2014 amid the economic boom witnessed by the Emirate of Dubai. This significant rise is in comparison to its closing level at the end of 2020, which was at 2,491.97 points. The market's upturn is attributed to new listings, the recovery of the local economy, and the prosperity of the real estate and banking sectors in recent times.
Under the board's administration, the market saw the listing of 8 companies and two funds for tradable indices. Additionally, the Union Cooperative's listing was transferred from an external platform to the market, contributing to a market capitalization increase of approximately 195.2 billion dirhams.