Number of UAE banks allowing foreign ownership at ADX increases to 10

ABU DHABI

The number of banks allowing foreigners to own part of their shares has amounted to 10 national banks out of 12 listed on the Abu Dhabi Securities Exchange, ADX.

National Bank of Umm Al Qaiwain, NBQ, was the latest to join the list after its board of directors’ decision on Thursday to allow 30 per cent foreign ownership, i.e. 554 million shares out of its total stocks estimated at around 1.48 billion.

Allowing foreign ownership in a company’s shares listed on the stock market is a prerequisite for them to get incorporated into leading indices, like MSCI, which has recently promoted UAE stock markets’ classification from frontier to emerging market.

A total of 52 companies allowing foreign shareholders are listed on ADX, claiming 76.5 per cent of the market’s 68 companies.