Abu Dhabi (WAM) Net foreign investment for non-Arabs jumped in UAE stock markets to 3.255 billion dirhams during the first five months of the year 2021, according to statistics issued by the Abu Dhabi and Dubai financial markets, which reflects the large volume of foreign liquidity flowing into the markets. The huge jump in the investments of this segment of investors, since the beginning of this year, confirms the increase in confidence in the transactions of the local markets, which are now classified as the most attractive in the Gulf region and the Middle East.
The annual dividends ratios for companies listed in the UAE markets are among the highest distributed to shareholders in the region, which constitutes an additional element of attraction for investors, in addition to the returns that can be achieved for investors in the short and medium term. The value of cash dividends for companies listed in the financial markets exceeded 41 billion dirhams for their profits during the year 2020, according to statistics issued by the Securities and Commodities Authority.
The statistics of the Abu Dhabi Securities Exchange show that the net investments of non-Arab foreigners amounted to 2.945 billion dirhams during the period from January to the end of May of 2021. This jump in net investments came as a result of purchases made by non-Arab foreigners worth 44.752 billion dirhams in the months The first five of this year, compared to sales of 41.807 billion dirhams, which means that the total value of their trading amounted to 86.559 billion dirhams, buying and selling, during the monitoring period.
The transactions of this segment of investors accounted for about 38% of the total trading in the capital market, which amounted to 227.639 billion dirhams, buying and selling, since the beginning of the year 2021 until the end of last May. As for the Dubai Financial Market, the net investments of non-Arab foreigners amounted to 311 million dirhams during the period from January to the end of May of 2021.
While the value of their purchases reached 7.302 billion dirhams, the value of their sales reached 6.991 billion dirhams. The total value of non-Arab foreign trades in Dubai amounted to approximately 14.29 billion dirhams, buying and selling, which constituted about 30% of the total trading in the market, amounting to 47.8 billion dirhams, buying and selling.