The Dubai Financial Services Authority (DFSA) reported a 25 per cent increase in new company licencing in 2023, elevating the total number of registered firms to 791.
There was a 50 per cent year-on-year surge in licence applications across all business models, indicating the robust expansion and diversity of the financial services sector within the Dubai International Financial Centre (DIFC).
Chairman Fadel Al Ali affirmed the DFSA’s commitment to supporting the UAE and Dubai’s vision and fostering development and collaboration within the DIFC community as it approaches its 20th anniversary in 2024. He emphasised the regulator’s dedication to upholding the integrity of Dubai’s financial hub through effective regulation.
The wealth management sector witnessed substantial growth, with increased licencing applications from private banks, asset managers, and fund management firms.
Additionally, the DFSA observed robust growth in sustainability-linked securities listings, reaching a record value of $11.72 billion, with total outstanding ESG securities amounting to $27 billion by year-end.
In 2023, Dubai’s DFSA signed 115 bilateral MoUs, five multilateral MoUs, and eight innovation agreements, strengthening its international partnerships and commitment to regulatory cooperation.
The DFSA continues to adopt innovative technologies to enhance and safeguard the cybersecurity landscape within the DIFC. Its Threat Intelligence Platform has provided over six million compromise indicators to users since its launch in 2020.
Regarding sustainable finance, the DFSA announced in December its decision to waive all regulatory fees for issuers seeking to list sustainability-related debt securities in the DIFC throughout 2024. This waiver, announced at COP28, reflects the regulator’s ongoing efforts to promote sustainable capital markets since releasing its first set of guidelines for listing green bonds and sukuk in 2018. The waiver applies to all new and repeat issuers making relevant applications to the DFSA.
Nasdaq Dubai, the DIFC’s exchange, has become the world’s largest ESG sukuk market, accounting for over 60 per cent of US-denominated ESG sukuk and nearly 50 per cent of all-currencies ESG sukuk. To further encourage financing for sustainable projects in the UAE and the wider region, the fee waiver encompasses all ESG-related bonds and sukuk labelled as green, social, sustainable, sustainability-linked, climate, climate adaptation, climate transition, or similar.