The new head of Dubai’s financial market has overhauled the board of the local stock exchange, as part of a series of moves designed to attract listings to the city and catch up with regional rivals that have drawn billions of dollars over the past year.
Sheikh Maktoum bin Mohammed bin Rashid, also deputy ruler of the emirate, replaced five of seven members on the board of the Dubai stock exchange late on Wednesday. That came a day after he unveiled plans to list utility DEWA in what is likely to be the city’s biggest share sale and one of 10 planned over the coming months.
The moves helped shore up the local bourse. Dubai’s benchmark index rose as much as 1% on Thursday, taking weekly gains to 9% -- its best performance since 2014. Exchange operator DFM has surged 56% since the start of the week.
The changes will be enough to inject momentum into the stock market, Ajit Joshi, a fund manager at Shuaa Capital, said in an interview with Bloomberg Television on Thursday. “These are all great steps. We have seen how market-making has done wonders in the Abu Dhabi market and we are confident that that will reflect in the Dubai market as well.”
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