UAE's stock exchange touches $1 trillion market capitalisation for the first time

United Arab Emirates' stock exchange has touched the market capitalisation of $1 trillion for the first time, as per data from Bloomberg News on November 17, making it bigger than several emerging markets.

The rise of the stock market of UAE has been backed by the government's effort to attract greater foreign investments and economic fundamentals of the region, helped by a strong growth in key cities, and a growing population. There has also been an increasing appetite from global investors for IPOs in UAE this year, prominent among them are the likes of Lulu Retail, Alef Education, among others. Some of the UAE-based companies in the space of green energy and AI too are attracting funds for global investors.

All of this has enhanced the trading volumes and participation in UAE's share market, nurturing the ambition of being a global financial centre.

Companies linked to one of the key royals, Sheikh Tahnoon bin Zayed Al Nahyan - the Deputy ruler of Abi Dhabi and UAE's National Security Adviser - have been crucial in this journey to the trillion dollar milestone. International Holding Company (IHC) - an Abu Dhabi-listed holding company chaired by Sheikh Tahnoon - manages a diversified portfolio of domestic as well as foreign investments, and stands at a market cap of close to $250 billion, a fourth of the total value of UAE’s listed equities.