These are the companies that raised the value of the UAE markets to trillions of dollars

Exceeds the market value of the shares listed in The UAE The trillion dollar level for the first time, supported by the increase in the value of companies linked to a member of the ruling family in Abu DhabiThe value is more than a third of the total value, plus a wave of local donations.

This increase makes the combined UAE stock market, which includes the Dubai and Abu Dhabi stock exchanges, larger than its counterparts in Milan and Madrid. Although the UAE market is still much smaller in comparison In the Saudi stock market Its value is close to $3 trillion, but it is considered one of the largest emerging markets, with the exception of some markets such as India and China, according to data collected Bloomberg.

One of the most notable aspects of reaching the $1 trillion mark is the weight of related companies. By Sheikh Tahnoun bin Zayed Al Nahyan, one of the Deputy Governors of Abu Dhabi and the National Security Advisor of the UAE, has emerged as one of the most important figures in the world of business, leading an empire worth $1.5 trillion.

International Property

This empire includes the International Holding Company, led by Sheikh Tahnoun, which is the largest listed company in the Emirates. The company has achieved a huge jump in value of more than 43,000% over the past few years, increasing its market value to approximately $250 billion, ie a quarter of the total value of the UAE markets.

Emirati citizens own 88% of international holdings, according to data from the Abu Dhabi Stock Exchange. The company started as a small fish farming project, but is now at the forefront of efforts to diversify the UAE’s economy away from oil. The company and its subsidiaries, some of which are listed in Abu Dhabi, have made a number of investments including singer Rihanna’s clothing lines, Elon Musk’s SpaceX company, as well as Aldar Properties , which is the largest property development company in the emirate.

Sheikh Tahnoun also heads First Abu Dhabi Bank, which last year investigated a bid to acquire British bank Standard Chartered Plc. The shares of the bank and “International Holding” together represent more than 50% of the weight of the FTSE Abu Dhabi General Market Index.

Ambition achieved after a long wait

Reaching the $1 trillion mark has been a long-term goal of Abu Dhabi’s ruling Al Nahyan family, and the market’s growth reflects their ambitions to transform the city into a global financial center. . According to a report published by Bloomberg in April, Al Nahyan family members expect these rising values ​​to attract global capital and encourage local investors to keep their money inside the country. .

The UAE stock market is part of the MSCI index, which mainly tracks emerging market stocks, representing 1.2% of the index’s weight, according to Bloomberg data. Although International Holding is not included in the index, the list includes its units such as Aldar and Multiplay Group PJSC, as well as First Abu Dhabi.

A series of new IPOs helped the country reach the $1 trillion mark. From 2021, the UAE, together with Saudi Arabia, has led a wave of IPOs in the Gulf as both governments seek to raise funds to diversify their economies. In 2020, the Tharwa fund led by Sheikh Tahnoun acquired a stake in Lulu International Holding, a major hypermarket chain operator company that achieved the largest listing in the UAE during the year.

This wave of deals is expected to continue, including a possible IPO for Etihad Airways, the Middle East arm of Talabat, Hero Delivery SE, and IT services company Alpha Data.

Despite growing regional tensions, the general index of the Dubai Financial Market continues to trade near its highest levels since 2014, supported by the city’s economic and population growth . The index leads the gains of the Gulf markets this year, rising 17%, while stocks in Abu Dhabi fell 1.4% in 2024.