The Capital Market Authority, the federal regulator for the UAE’s securities and commodities markets, has announced a period of remarkable growth in 2025, signaling a new phase of development and institutional maturity for the nation’s financial ecosystem. The strong performance across key indicators underscores expanding market activity and deeper investor participation.
A Surge in Market Participation
In 2025, the Authority documented a significant increase in licensing activity, completing 3,170 licenses and approvals. This marks an approximate 150% year-on-year increase compared to the 1,272 processed in 2024 and represents one of the highest annual surges in the regulator’s history. The data points to a sustained rise in both market participation and regulatory engagement from financial players.
Expanding Asset Management and Fund Landscape
The elevated market participation was mirrored by a substantial expansion in assets under management (AUM), which reached approximately USD 470 billion across the UAE. This highlights the increasing scale and institutional depth of the market.
A key driver of this growth was the explosion in local investment funds. The number of locally domiciled investment funds surged by an impressive 322% during 2025. The total number of funds under the Authority’s supervision, including passported funds, grew by 66%, rising from 119 in 2024 to 197 in 2025. This expansion reflects a more diversified range of investment strategies available within the market, enhancing options for investors and contributing to greater market depth.
A View from the Authority
Commenting on the performance, His Excellency Waleed Saeed Al Awadhi, Chief Executive Officer of the Capital Market Authority, said: “The Authority’s performance in 2025 reflects the continued development of the UAE’s capital markets and the effectiveness of its regulatory framework. The increase in licensing activity and the expansion of managed assets demonstrate growing confidence in the regulatory environment and the strength of market participation.”
Al Awadhi added, “Looking ahead, the Authority will continue to enhance its supervisory approach and regulatory tools to keep pace with market developments. This will ensure that growth is supported by robust governance, transparency, and effective investor protection. Together, these developments point to a deepening pool of long-term capital and reinforces the UAE’s growing role as a regional and international hub for institutional investment.”
Strengthening the Regulatory Framework
Supporting this market growth, important regulatory updates came into effect in 2026. New federal decree laws governing the Capital Market Authority and the regulation of capital markets have been enacted, reinforcing the legal foundations that underpin the securities and commodities markets. This ensures the regulatory environment evolves in step with market expansion, supporting effective oversight and sustained investor confidence.
About Capital Market Authority
The Capital Market Authority (CMA) was established in 2000 as the federal regulator of the UAE’s capital markets. CMA is responsible for regulating and supervising securities and commodities markets, safeguarding investor rights, promoting transparency and fair market practices, and enhancing market confidence and competitiveness. The Authority operates through a forward-looking regulatory framework aligned with international best practices, supporting sustainable market development in line with the UAE’s national economic vision.
Source: Zawya
