Foreign investors’ share in UAE stocks surges 40% to $ 59.3 b

The total foreign investors’ trading share in the Abu Dhabi and Dubai markets in 2019 through buying and selling, amounted to Dh218 billion ($59.3 billion), up 20.4% compared to Dh181 billion ($49 billion) last year.

Foreign investors in the UAE’s financial markets are classified into three categories, which are non-Arabs, GCC citizens and Arab investors.

The net investments of non-Arab foreign investors in the UAE’s financial markets doubled 11 times in 2019, jumping to Dh12.5 billion, said a statement from Securities and Commodities Authority (SCA).

The level of net investments of non-Arab foreigners in the Dubai and Abu Dhabi markets is the highest in five years, which reflects their success in attracting foreign investments, it stated.

The SCA continued adopting systems to attract capital and local and international expertise in 2019, by upgrading markets at international index providers.

Four years ago, the UAE was upgraded to an emerging market by the MSCI Emerging Markets Index, which was a global acknowledgement that the country’s financial markets have reached international standards, leading to more long-term capital flow from foreign investors.

Official statistics also pointed out a significant increase in the value of foreign investors trading in the Abu Dhabi and Dubai markets in 2019.

Non-Arab foreign investors trade in the two financial markets amounted to Dh100.5 billion, or 46.1% of the total trades of foreigners in 2019.

The total foreign investors’ trading share at the Abu Dhabi Securities Exchange amounted to Dh112.75 billion in 2019, including buying and selling worth Dh50 billion while the net investments of non-Arabs in this market totalled Dh9.537 billion, stated SCA in its report.

In the Dubai Financial Market, the value of foreign investors trade amounted to Dh105.4 billion, including buying and selling worth Dh50.5 billion, and their net investments totalled Dh2.983 billion at the end of 2019, it added.