Within two months, trading in debt instruments will begin at the Dubai Financial Market. According to the body’ director-general, Essa Abdulfattah Kazim, the first bond from the private sector will be listed by April. Futures trading will start at a later date.
Quoted by Gulf News, Kazim said these latest measures are being taken to improve the UAE's position as a regional financial center and to provide an additional means of meeting the long-term financing needs of companies.
The Dubai Financial Market, the first stock trading floor in the emirate, began trading in march 2000, with eight listed companies—EMAAR, Emirates Bank International, Dubai Investment, Union Property, Dubai Islamic Bank, Dubai National Insurance, Tabreed and Emirates Insurance. By January 2001, the number of companies listed had risen to 12.
Prior to the opening of the Dubai Financial Market, stock trading in the UAE was carried out through banks and brokers' offices. With the organization’s creation last year, Saudi Arabia remained the only Gulf state without an equities trading floor. Stock dealing there is conducted through a network of computers connected to the banks. – (Albawaba-MEBG)
© 2001 Mena Report (www.menareport.com)
