His Highness Sheikh Maktoum bin Mohammed bin Rashid Al Maktoum, First Deputy Ruler of Dubai, Deputy Prime Minister and Minister of Finance, Chairman of the Supreme Committee for the Development of Capital Markets and Stock Exchanges in Dubai, said, “The Dubai Financial Market rose by 27% during the year 2024.”
His Highness added, in a blog post on his official account on the “X” platform, yesterday: “The Dubai government will remain committed to consolidating the principles of transparency and governance, enhancing confidence in the Dubai Financial Market, and creating the best environment for local and international investors in accordance with the best standards.”
Record results
The Supreme Committee for the Development of Capital Markets and Stock Exchanges in Dubai, headed by His Highness Sheikh Maktoum bin Mohammed bin Rashid Al Maktoum, First Deputy Ruler of Dubai, Deputy Prime Minister and Minister of Finance and Chairman of the Committee, achieved record results during the year 2024, as it contributed a pivotal role in strengthening the leadership position it occupies. Dubai is a global center for financial services, and one of the most important financial markets in the world.
The committee’s efforts are in line with Dubai’s comprehensive economic vision aimed at attracting global investments, stimulating innovation, and advancing the process of sustainable development across all sectors of the financial system, as the committee seeks to stimulate growth through policies and action plans that achieve the vision of His Highness Sheikh Mohammed bin Rashid Al Maktoum, Vice President. The Prime Minister and Ruler of Dubai, may God protect him, aims to consolidate the position of the Emirate of Dubai as the most prominent destination in the world in the financial services sector and among the four most important global financial centers, in line with the objectives of the Dubai Economic Agenda. (D33).
Market value
The market value of companies listed on the Dubai Financial Market reached 907 billion dirhams at the end of 2024, compared to 394 billion dirhams at the end of 2021, an increase of 130%. The sectors’ contribution to the market value was a reflection of the amount of diversity in the market, as the financial sector topped the scene with a percentage of 38.5%. %, followed by the utilities sector with a rate of 18.6%, then the real estate sector with a rate of 21%, while other sectors contribute, Such as industries, by 12.3%, and communications services, by 3.7%, in enhancing the diversification scene, and other sectors, such as basic consumer goods, luxury goods, and materials, constitute a specialized segment in the market.
The diversity of sectors highlights the continuing efforts made by the Dubai Financial Market to diversify in this regard, and also confirms the possibility of attracting more companies from additional new sectors, which enhances the depth and attractiveness of Dubai as a leading capital market.
Trading activity
The Dubai Financial Market Index outperformed the region’s markets and came among the top three in the world, recording a 27.1% jump in 2024, closing at 5,158 points to reach its highest levels since 2014.
The total number of transactions during the past year reached 2.5 million transactions, compared to 875 thousand transactions in 2021, an increase of 185% compared to 2021. The total trading volume increased by 48% to 106.7 billion dirhams, and the average daily trading volume in the market increased to 423.5. One million dirhams in 2024, compared to 290.5 million dirhams in 2021.
Over the past three years, qualitative initial offerings have been an essential element in attracting liquidity and attracting the interest of global and regional investors. Six government companies and four private sector companies were listed with an offering value of 44 billion dirhams, and the demand for these initial offerings exceeded 1.249 trillion dirhams.
The distinguished performance of the Dubai Financial Market during the year 2024 is a reflection of the strategic axes that were established in 2021, focusing on listings, product innovation, and building strategic partnerships that contribute to enhancing liquidity and facilitating cross-border trading activities, in addition to employing new technologies and expanding market offerings to ensure continuity in providing… Outstanding value to various stakeholders. During the year 2024, the Dubai Financial Market attracted 138,000 new investors, 85% of whom were foreigners, compared to 7.3 thousand investors in 2021, which reflects the market’s attractiveness on the global stage.
Foreign investors contributed approximately 49% of the total trading value during this period, and the increasing participation of foreign investors, in addition to the activities of institutional investors, reflects the pivotal role of the Dubai Financial Market as a leading financial center.
These investment institutions represented 65% of the total trading value during this period compared to 46% in 2021, which increased the participation rate of companies listed in the MSCI UAE index to 32.37% compared to 22.22% in 2021.
The continued growth in the number of new investors in the Dubai Financial Market and the superior performance of the market index constitute evidence of the high confidence of local and international investors in Dubai and its thriving financial system, and the consolidation of its distinguished position as a leading financial center. The Dubai Financial Market contributes to supporting Dubai’s vision of achieving global leadership and providing a prosperous and sustainable market environment that advances economic development.
Nasdaq Dubai
Nasdaq Dubai ranked first globally in listing sukuks and first regionally in lists of public debt instruments in 2024, while the total listed sukuks and bonds reached 525 billion dirhams through 164 listings, including 53 listings worth 93 billion dirhams in 2024, noting that More than 50% of them are issued by sovereign and governmental entities, which reflects the increasing attractiveness of Nasdaq Dubai for issuers from entities. International.
Legislation to maintain market transparency and support investor confidence
One of the most prominent achievements achieved by the Supreme Committee for the Development of Capital Markets and Stock Exchanges in Dubai is the establishment of the Law Enforcement Committee for Capital Markets in Dubai. The committee is specialized in working to develop financial and supervisory procedures for financial markets, accelerating the pace of business, monitoring violations and coordinating between regulatory and legislative authorities to maintain transparency. Markets and supporting investor confidence, in addition to establishing an authority to regulate virtual assets, and establishing a specialized court, the “Securities Disputes Department,” to adjudicate disputes related to stocks, bonds, or other securities. In addition to issuing legislation that supports local markets, and a set of facilities granted to companies listed or under listing on the Dubai Financial Market.
The committee also launched many projects, including launching the “xCube” market maker worth two billion dirhams, launching the “xCube” trading application, issuing green bonds and sukuks worth $27 billion, and launching a new general index for the Dubai Financial Market with “S&P Dow Jones,” in addition to… Launching the pilot carbon credits program, and launching the IPO Accelerator Program.
. A 27.1% increase in the general index of the Dubai Financial Market in 2024, and closed at 5158 points, reaching its highest levels since 2014.
. 2.5 million transactions, the total number of trading transactions, an increase of 185% compared to 2021.
. 10 qualitative IPOs worth 44 billion dirhams over 3 years.
. 138 thousand new investors in Dubai Financial, 85% of whom are foreigners.
. 525 billion dirhams, the total number of sukuk and bonds listed on Nasdaq Dubai.
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