Equities are lightly traded across the region, and initial public offerings (IPOs) have been few and far between. In Dubai, however, a capital markets culture that has relied on private wealth and bank debt seems ripe for change. The emirate has four regulated trading platforms, and plans to encourage more activity on them are under way. In 2014 the first equity capital raising since 2009 was completed, but the year’s highlight was the upgrade of the UAE and Qatar from frontier to emerging market…
From The Report: Dubai 2015
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The UAE’s 2014 upgrade from frontier to emerging market status by the MSCI is a major accomplishment for the state and one that has brought both more liquidity and greater international attention. Rules for listings are being relaxed to encourage more private sector companies to join the exchange, particularly SMEs, and a spot gold contract is due to be launched in the near future. In 2013 the emirate announced an ambition to crown itself as the capital of the global Islamic economy, and the Dubai NASDAQ is currently the third-largest market for sukuk worldwide in terms of capitalisation.