The UAE’s capital markets experienced a significant boost in 2025, driven by a massive increase in licensing activity, expanding funds, and stronger trading volumes, signalling growing investor confidence and a maturing ecosystem.
The UAE’s capital markets registered a pronounced upswing in 2025, driven by a surge in licensing activity, expanding fund management and stronger trading volumes that together point to rising investor confidence and deeper market infrastructure.
According to the Emirates News Agency, the Capital Market Authority authorised 3,170 licences and approvals in 2025, up from 1,272 the previous year, an increase of roughly 150 percent. The regulator said this marked one of its steepest year‑on‑year jumps and reflected heightened participation across securities and commodities markets. The Authority also put assets under management across the country at about US$470 billion, citing notable growth in funds and portfolio management under its supervision.
Investment fund activity was particularly dynamic. The number of locally domiciled funds expanded sharply, with the total number of funds overseen by the Authority, including passported vehicles, rising from 119 in 2024 to 197 in 2025, an increase of around 66 percent. The regulator said the enlargement of the fund universe had broadened the range of strategies available to investors and enhanced market depth.
The Authority’s chief executive, Waleed Saeed Al Awadhi, said the figures signalled confidence in the regulatory framework and the reforms underway, and reaffirmed the regulator’s intention to strengthen supervision, governance and investor protections to sustain growth. According to the announcement, new federal decree laws governing the Authority and capital markets are scheduled to take effect in 2026, which the regulator says will further underpin market foundations.
The licensing and fund expansion coincided with stronger market activity on exchanges. Dubai Financial Market reported its highest Average Daily Trading Value in more than a decade in the first quarter of 2025, reaching AED 663 million, a 67 percent year‑on‑year rise, and total traded value of AED 41 billion, up 61 percent from the same quarter in 2024, according to a Dubai Media Office release and contemporaneous coverage by Zawya. Regional IPO activity also rebounded in Q1 2025, with 14 listings in the MENA region raising US$2.4 billion, led by activity in the UAE and Saudi Arabia, Reuters‑style reporting in Khaleej Times noted; the UAE recorded an IPO on the Abu Dhabi Securities Exchange raising about US$163 million.
Market capitalisation and index performance further underscored the expansion. Industry commentary referenced by market analysts points to gains across major UAE bourses in the first half of 2025, with ADX indices and combined market capitalisations rising as new capital flowed into listed companies, highlighting the broader appetite for Gulf assets.
Taken together, the data paint a picture of a maturing UAE capital markets ecosystem: regulators are issuing more licences and overseeing a larger, more diverse set of funds, while exchanges are experiencing heightened trading and primary market activity. The Authority frames these trends as evidence that its regulatory reforms are yielding results, even as observers note that sustaining momentum will depend on continued regulatory clarity, governance improvements and the timely implementation of the planned 2026 legal changes.
- https://focus.hidubai.com/capital-market-authority-records-surge-in-market-activity-in-2025/ – Please view link – unable to able to access data
- https://www.arabianbusiness.com/markets/capital-market-authority-issues-3170-licenses-in-2025-a-jump-of-150-over-previous-year – In 2025, the UAE’s Capital Market Authority issued 3,170 licenses, marking a 150% increase from the previous year. This surge reflects heightened market participation and regulatory engagement, underscoring the UAE’s growing appeal as a financial hub. The substantial rise in licensing activity indicates a robust expansion in the country’s capital markets, driven by investor confidence and the effectiveness of ongoing regulatory reforms.
- https://www.mediaoffice.ae/en/news/2025/may/01-05/dubai-financial-market-achieves-strong-growth-in-q1-of-2025 – The Dubai Financial Market (DFM) reported significant growth in the first quarter of 2025, achieving its highest Average Daily Trading Value (ADTV) in over a decade at AED 663 million, a 67% year-on-year increase. The total traded value surged by 61% to AED 41 billion, compared to AED 25.5 billion in the same period last year. This performance highlights the DFM’s resilience and the increasing investor confidence in the UAE’s financial markets.
- https://www.zawya.com/en/capital-markets/equities/dubai-financial-market-achieves-strong-growth-in-q1-of-2025-rzkzrxkm – In Q1 2025, the Dubai Financial Market (DFM) achieved a 67% year-on-year increase in Average Daily Trading Value (ADTV), reaching AED 663 million. The total traded value rose by 61% to AED 41 billion, compared to AED 25.5 billion in Q1 2024. These figures underscore the DFM’s strong performance and the growing investor confidence in the UAE’s capital markets.
- https://www.khaleejtimes.com/business/uae-and-saudi-arabia-spur-surge-in-mena-share-sales – In Q1 2025, the Middle East and North Africa (MENA) region saw 14 initial public offerings (IPOs) raising $2.4 billion, a 106% increase compared to Q1 2024. The UAE and Saudi Arabia led this surge, with the UAE recording one IPO on the Abu Dhabi Securities Exchange (ADX), raising $163 million. This trend reflects the resilience and diversification of MENA capital markets, with the UAE playing a pivotal role in this growth.
- https://www.archyde.com/uae-capital-market-authority-approves-record-3170-licenses-in-2025-driving-150-growth-and-asset-expansion/ – The UAE’s Capital Market Authority approved 3,170 licenses in 2025, a 150% increase from the previous year. This growth reflects a sustained rise in market participation and regulatory engagement. Additionally, assets under management across the UAE reached approximately $470 billion, indicating a substantial expansion in the country’s capital markets and a deepening investor confidence.
- https://www.daraltharwa.com/insights/uae-capital-markets – The UAE capital markets have demonstrated significant growth, with the ADX General Index increasing by over 11.4% in H1 2025, reaching around 9,930 points. The combined market capitalization of listed companies on ADX surpassed AED 2.4 trillion (USD 650 billion), while DFM’s market cap stood at about AED 688 billion (USD 190 billion). This growth reflects new capital inflows and high investor confidence in the UAE economy.
Noah Fact Check Pro
The draft above was created using the information available at the time the story first
emerged. We’ve since applied our fact-checking process to the final narrative, based on the criteria listed
below. The results are intended to help you assess the credibility of the piece and highlight any areas that may
warrant further investigation.
Freshness check
Score:
8
Notes:
The article reports on the UAE Capital Market Authority’s performance in 2025, published on January 26, 2026. Similar reports from reputable sources, such as Arabian Business and Aletihad News Center, were published on January 27, 2026, indicating that the information is recent and not recycled. ([arabianbusiness.com](https://www.arabianbusiness.com/markets/capital-market-authority-issues-3170-licenses-in-2025-a-jump-of-150-over-previous-year?utm_source=openai))
Quotes check
Score:
7
Notes:
The article includes a quote from Waleed Saeed Al Awadhi, CEO of the Capital Market Authority. While the quote is consistent with statements from other sources, such as Aletihad News Center, the exact wording cannot be independently verified. ([en.aletihad.ae](https://en.aletihad.ae/news/business/4640054/capital-market-authority-reports-record-growth-in-2025?utm_source=openai))
Source reliability
Score:
6
Notes:
The article cites the Emirates News Agency as the primary source. However, the Emirates News Agency is a government-run news outlet, which may have a vested interest in presenting information positively. Additionally, the article references other sources like Arabian Business and Aletihad News Center, which are reputable but may have limited reach. ([arabianbusiness.com](https://www.arabianbusiness.com/markets/capital-market-authority-issues-3170-licenses-in-2025-a-jump-of-150-over-previous-year?utm_source=openai))
Plausability check
Score:
8
Notes:
The reported growth in licensing activity and assets under management aligns with other reports from reputable sources, such as Arabian Business and Aletihad News Center. However, the exact figures and quotes cannot be independently verified, raising some concerns about the accuracy of the data. ([arabianbusiness.com](https://www.arabianbusiness.com/markets/capital-market-authority-issues-3170-licenses-in-2025-a-jump-of-150-over-previous-year?utm_source=openai))
Overall assessment
Verdict (FAIL, OPEN, PASS): FAIL
Confidence (LOW, MEDIUM, HIGH): MEDIUM
Summary:
The article reports on the UAE Capital Market Authority’s performance in 2025, citing recent data from the Emirates News Agency and other sources. However, the reliance on government-run and less independent sources, along with unverifiable quotes and figures, raises concerns about the accuracy and reliability of the information. Given these issues, the content does not meet the necessary standards for publication.