Capital markets in UAE set for listings boost
A draft law in the United Arab Emirates will see more family-run corporates listing, while pension reforms will create a huge pool of investable assets.
The Dubai International Financial Centre
The UAE has inked a draft law encouraging family-owned businesses to list, while an emerging pensions industry in Dubai is expected to widen its net of investors – both marking key developments in the growth of the region’s capital markets.
Improving access to capital for the UAE’s corporates is essential to creating a sustainable, diversified economy as the region looks to a future without oil.
The move comes on the back of the Gulf’s inclusion in the MSCI and FTSE Russell indices, which has helped cement the region as a key focus for international investors.
The Cabinet of the United Arab Emirates’ draft law will facilitate the listing of family-owned businesses on domestic stock exchanges, a move which is expected to improve the diversity and liquidity of the Abu Dhabi Securities Exchange (ADX) and Dubai Financial Market, and is welcomed by bankers and investors.