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The UAE Capital Market Authority has announced exceptional performance across key regulatory and market indicators throughout 2025, marking a significant milestone for capital markets development in the Emirates. According to the authority’s latest report, licensing activity experienced remarkable growth, with 3,170 licenses and approvals completed during 2025 compared to 1,272 in 2024, representing an impressive annual growth rate of 150 percent.
This surge in licensing activity represents one of the highest growth rates the Capital Market Authority has achieved, indicating increased market activity and an expanding base of licensed entities. The authority attributed these results to continued market growth, rising investor participation, and ongoing development of the national regulatory framework for capital markets.
Assets Under Management Reach Historic Levels
Assets managed by investment funds and portfolio management companies witnessed substantial expansion during 2025, coinciding with elevated market participation levels. The total value of assets under management in the UAE reached approximately 470 billion dollars, according to the authority’s report. This growth demonstrates increased scope of regulated investment activities and broader institutional participation in the market.
Meanwhile, the domestic investment fund ecosystem experienced notable expansion, with the number of local investment funds increasing by approximately 322 percent during the past year. Additionally, the total number of funds under the authority’s supervision, including recognized foreign funds, rose by nearly 66 percent, from 119 funds in 2024 to 197 funds in 2025.
Enhanced Regulatory Framework Supports Market Growth
This expansion reflects the diversity of investment strategies and structures being established in the markets, according to the Capital Market Authority. The growth enhances options available to individual and institutional investors while contributing to market development and strengthening long-term resilience. However, the increase also necessitates more sophisticated regulatory oversight to maintain market integrity.
Walid Saeed Al Awadhi, Chief Executive Officer of the Capital Market Authority, commented on this strong performance. He stated that the authority’s performance during 2025 reflects the continuous growth and development pace of capital markets in the UAE and the effectiveness of its regulatory framework. In contrast to previous years, the growth in licensing activity and expansion of assets under management confirms growing confidence in the regulatory environment and strong market participation.
Capital Market Authority Strengthens Supervision Approach
Al Awadhi emphasized that in the upcoming phase, the Capital Market Authority will continue enhancing its approach to supervising capital markets and developing regulatory tools to keep pace with market developments. The authority aims to ensure growth based on established transparency and governance frameworks, effective investor protection, and these developments collectively confirm the expanding base of long-term capital. Furthermore, they underscore the UAE’s growing role as a regional and international hub for institutional investment.
In related developments, the regulatory framework for capital markets witnessed important regulatory advances during this period. Federal decrees regulating the Capital Market Authority and capital markets organization entered into force in 2026, establishing the legislative framework governing securities and commodities markets. These developments reflect the renewed regulatory environment that keeps pace with market evolution, supports supervision efficiency, enhances market integrity, and maintains investor confidence.
The authority is expected to continue implementing additional regulatory enhancements throughout 2026 as the new federal decrees take full effect. Further announcements regarding specific regulatory tools and supervision mechanisms are anticipated in the coming months, though exact timelines have not been confirmed by officials.
