The net investments of non-Arab investors in UAE financial markets significantly jumped to AED3.255 billion during the first five months of 2021, statistics revealed by the Abu Dhabi and Dubai bourses show. The growth is reflective of the steady capital inflows received by the two markets since the beginning of the year, as a directive result of the increased investor confidence in the UAE capital markets thanks to the lucrative dividend yields paid out by the listed companies, considered the highest in the Gulf and the Middle East.
Cash dividends distributed by these companies surged to over AED41 billion for 2020, according to the Securities and Commodities Authority. In more detail, the Abu Dhabi Securities Exchange saw net investments by Arabs hitting AED2.945 billion from January through May: AED44.752 billion in purchases and AED41.807 billion in sales. This segment of investors accounted for 38 percent of total trades in the capital's bourse, which amounted to AED227.639 billion, from January through May.
In Dubai Financial Market, the non-Arabs' net investments amounted to AED311 million during the reference period: AED7.302 billion in purchases and AED6.991 billion in sales, which accounts for around 30 percent of the DFM's total trades, estimated at AED47.8 billion during the reference period.