Abu Dhabi, the capital of the United Arab Emirates, continued to attract major international and regional companies to its international financial hub, the Abu Dhabi Global Market, as the market’s strong performance in the first half of 2023 reflected significant growth. Various levels, which establish a positive momentum for the remainder of the current year and ensure that the market continues its role in strengthening Abu Dhabi’s position as a leading financial power, in line with the “Balkan Economy” model.
Recent data shows that many investment firms and hedge funds have established their businesses in the Abu Dhabi Global Market, today the number of asset managers working in the Abu Dhabi Global Market is 102, managing 128 funds, which strengthens Abu Dhabi’s leading position. In the asset management sector, the volume of assets under management recorded growth of 35% year-on-year at the end of June.
One of the notable additions to this sector is the announcement of amendments to the Financial Services Regulatory Authority’s regulatory framework for investing in debt through the establishment and participation of existing collective investment funds credit facilities in the Abu Dhabi Global Market. . These amendments are aimed at improving access to alternative financing for private companies, especially small and medium enterprises.
The attractiveness of the Abu Dhabi Global Market as a comprehensive financial center and the region’s sole geographic scope based on the direct application of English Commons Law contributed to the attraction and licensing of many major international companies in 2023. These companies include “Breven Howard”, “Ardian”, and Goldman Sachs, DKHaw Capital, Blackstone, SBI Capital, Asian Infrastructure Investment Bank, Apollo, Fifth Wall, Federa and Vibrant Capital; The first half of 2023 saw another major addition to the international financial hub to its business environment, as the market welcomed the addition of well-known international investor Ray Dalio, who chose Abu Dhabi as the next strategic hub to expand his global presence. His family office.
Abu Dhabi Global Market is the destination of choice for prominent local and regional companies such as ADQ Holdings, Chimera Capital, G42 Group, Gulf Capital, 1AM and Investcorp.
His Excellency Ahmed Jassim Al Zaabi, Head of the Department of Economic Development in Abu Dhabi and Chairman of the Board of Directors of Abu Dhabi Global Market, said: What we are witnessing in Abu Dhabi today is a major transformation that supports growth and diversity. The “Balkan Economy”, especially many leading and influential companies have chosen Abu Dhabi as their business headquarters. As part of the continuous growth process of the market, we are proud of the positive results achieved from the first end. half of 2023, which will undoubtedly strengthen our position as the fastest growing international financial center in the region.
His Excellency stressed: Our ongoing efforts are a reflection of the economic vision of the Emirate of Abu Dhabi and the comprehensive strategy of the Abu Dhabi Global Market, which aims to improve the contribution of the financial sector to the Emirate’s GDP. Abu Dhabi and its contribution to the knowledge-based economy expresses its desire to continue these positive results this year, while we continue to work with strategic partners in government agencies. Companies looking to make Abu Dhabi their headquarters.
The overall positive outlook for 2023 that Abu Dhabi Global Market has demonstrated since the beginning of the year reflects its alignment with its 2023-2027 growth strategy and Abu Dhabi’s goals to support sustainable economic diversification efforts driven by the increasing growth of the financial sector.
More leading global and regional companies in the financial sector are set to operate in the Abu Dhabi Global Market, with 46 companies receiving initial approval in the first half of 2023, as this figure represents a 119% increase in the number of companies. received preliminary approvals.compared to the same period last year.
Commenting on his company’s expansion in the region and the opening of its new offices in the Abu Dhabi Global Market; Alan Howard, founder of Brevan Howard, said: Abu Dhabi and Abu Dhabi Global Market are differentiated by offering an integrated business environment of banking operations, financial technology and investment management. A leading financial centre, offering enormous and unparalleled capabilities, we are delighted to contribute to strengthening the Abu Dhabi Government’s efforts to build and develop the future.
Notably, Brevan Howard manages more than $30 billion in assets on behalf of several companies worldwide.
Rajiv Mishra, CEO of 1IM, said: “Abu Dhabi has become a global hub that attracts investors, employers and employees alike. We believe that obtaining a license to provide financial services in the Abu Dhabi Global Market will enable us to benefit from the various opportunities offered by the region, which will support the growth of our company and pave the way for further development in the future.
In the first half of 2023, the Abu Dhabi Global Market’s Financial Services Regulatory Authority will implement a regulatory framework for sustainable finance, which will include the most comprehensive disclosure requirements for environmental, social and corporate governance practices and regulated funds in the region. and portfolios managed on a discretionary basis, and bonds and sukuk designed to support ventures. UAE National Council to reduce emissions and achieve climate neutrality.
Together with the voluntary carbon market platform AirCarbon Exchange, the regulatory framework is aligned with the Carbon Offset System to create the world’s first regulated exchange and clearing house for trading carbon credits on the Abu Dhabi Global Market.
March this year; The Financial Services Regulatory Authority of Abu Dhabi Global Market, in collaboration with members of the Sustainable Finance Working Group in the UAE, has put forward for consultation the draft “Principles for the Effective Management of Climate-Related Financial Risks”. It will be released in its final form in the second half of 2023.
Earlier this year; The Asian Infrastructure Investment Bank, a USD 100 billion capital multilateral development bank, has signed an agreement to establish its first overseas office, the headquarters of the bank’s operational office at the Abu Dhabi Global Market. Financial infrastructure projects… adopt and apply sustainability principles.
These developments reflect the Abu Dhabi Global Market as a leading hub for sustainable finance, particularly in light of the UAE’s hosting of the COP28 Conference of Parties this year.
The success story of Abu Dhabi Global Market has seen a new milestone, this year announcing that the geographic scope of the market has expanded tenfold, adding Al Reem Island to its current jurisdiction and encompassing Al Maria Island. The largest financial centers in the world, with a total area of 14.38 million square meters.
This expansion comes on the back of the significant growth that the Abu Dhabi Global Market has seen recently, with international, regional and local companies in particular choosing Abu Dhabi as a location to expand and develop their business. This was also reflected in the results for the first half of 2023, when the number of operating companies increased by 36% year-on-year to reach 1,590 companies, while the number of employees at Abu Dhabi Global Market Square increased by 28. % during the same period, bringing the total to 12,080.
With the beginning of the intermediate phase of this expansion; Abu Dhabi Global Market focuses on resource management and is keen to ensure smooth delivery of services to companies. The efficiency and speed of issuance of business licenses has seen a significant improvement of 50% during the period from June 2022 to June 2023. A significant increase in the speed and efficiency of issuing business licenses to special purpose entities was recorded.
Abu Dhabi Global Market’s commitment to excellence is reflected in its “Customer Relationship Management Services” that ensure a smooth and integrated experience for companies, from the stage of preparing companies to register to the stage of establishing a business.
By enabling access to capital providers, government-related entities and key institutions in Abu Dhabi, the exceptional support provided by the Sovereign and Strategic Partnerships Group helps maximize client success and satisfaction.