Dubai Financial Market Experiences Surge in New Investors

The Dubai Financial Market (DFM) witnessed a significant surge in new investor participation during the first quarter of 2024.According to Hamed Ali,Chief Executive Officer of DFM,the market attracted a staggering ten times the average number of new investors compared to the five-year period leading up to 2019.This impressive growth highlights the DFM's increasing appeal and its efforts to cultivate a broader investor base.

Ali made these remarks during a panel discussion at the 2nd Capital Markets Summit 2024.He emphasized that attracting new investors is a top priority for the DFM,and their recent success reflects this commitment.Notably,the first quarter of 2024 saw an influx of approximately 44,000 new investors,a significant increase from the pre-2019 average.

Intriguingly,a substantial portion of this growth came from international participants.Ali revealed that a remarkable 85% of the new investors in Q1 2024 hailed from countries around the world,demonstrating the DFM's expanding global reach.This international participation is a positive indicator of investor confidence in the Dubai market and its potential for growth.

The DFM's CEO also highlighted the success of recent initial public offerings (IPOs) as a potential driver of investor interest.He pointed to eight successful IPOs in the recent past,collectively raising a substantial AED 35 billion (approximately USD 9.5 billion) in capital.The overwhelming demand for these offerings,with subscription requests exceeding AED 1 trillion (approximately USD 272 billion),further underscores the market's growing vibrancy.

This surge in investor participation aligns with the DFM's strategic focus on attracting high-quality liquidity.Ali expressed his confidence that the increasing weight of Gulf exchanges in the emerging markets index is a testament to this strategy.The DFM's initiatives appear to be yielding positive results,fostering a more dynamic and internationally recognized market.

Looking ahead,the DFM's leadership remains committed to attracting new investors and fostering a robust and diversified market ecosystem.Their continued efforts to enhance transparency,streamline regulations,and create a more accessible platform for investors are likely to play a crucial role in sustaining this momentum.The DFM's success story serves as an example for other regional exchanges,demonstrating the potential for attracting global investment and propelling economic growth.

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