ADGM assets under management in Abu Dhabi to grow 56% in 2022

Abu Dhabi Global Market (ADGM) has announced that it is ending 2022 on a high note thanks to several milestones achieved at the International Financial Center (IFC).

ADGM’s strategic push into traditional and new age financial clusters in the last year has created opportunities for business development, local market adoption and talent acquisition.

In line with this, IFC has improved its operating model, organizational structure, streamlined processes, and enhanced systems to increase efficiency.

Ahmed Al Jasim Al Zaabi, Chairman of ADGM, said: “With substantial progress through 2022, ADGM has positioned itself as the fastest growing IFC in the region and continues to contribute to the growth of Abu Dhabi’s ‘falcon economy’ Contribution to enhance its international status known as the “Capital of Capital”.

“Each milestone achieved by ADGM underscores our capital’s strong foundations as a sustainable international financial centre, demonstrating global importance.”

He added: “Positive results from ADGM’s adoption of a technology-driven and functional cluster strategy in 2022 are promising and will continue in 2023 as we see an increasing number of global investors, corporates and professionals attracted to Abu Dhabi and make it their preferred destination for work and development.”

ADGM – Key Achievements in 2022

• Assets under management grew 56% in 2022.
• ADGM Square will employ 10,954 employees in 2022 compared to 8,522 in 2021, an increase of 29%.
• It has signed a total of 25 memorandums of understanding in 2022, promoting the center’s business-friendly environment, facilitating the seamless integration of ease of doing business, customer service and operations within the international financial centre.
• IFC’s total number of active licenses was 5,546, including both financial services and non-financial companies, compared to the 4,262 firms reported in 2021, showing a 30% increase in the total number of active licenses in 2022.
• Operating entities within IFC increased by 30 percent, from 1,061 to 1,378 in total.
• IFC-registered companies such as Borouge, Burjeel Holdings, Bayanat AI and Americana Restaurants listed on the Abu Dhabi Securities Exchange (ADX) last year. American Restaurants gets a dual listing as it is also listed on the Saudi Stock Exchange. Anghami will be listed on Nasdaq in 2022.
• With the introduction of the Al Maryah Tower in 2022, an additional 32,000 square meters of space will be added.
• IFC is globally recognized as the 32nd^nd Best International Financial Center in the GFCI 32 report.
• The number of cases in ADGM courts increased significantly to 317 in 2022 compared to 139 in 2021, with more than 80% of these cases due to parties outside ADGM choosing the court to resolve their disputes.
• Its academies have successfully placed 1,033 UAE nationals in private sector companies, focusing on key positions in banking, finance, investment and digital.

In 2022, ADGM authorities have taken major steps across sectors to create a more business-friendly environment. These include:

1. IFC’s Financial Services Regulatory Authority (FSRA) enhances its capital markets framework by introducing environmental instruments to enable trading of carbon credits and offsets; new provisions on environmental instruments enable world’s first fully regulated carbon trading exchange and carbon Clearinghouse AirCarbon Exchange establishes its global presence in Abu Dhabi.
2. FSRA announced the introduction of a private capital markets regulatory framework, over-the-counter leveraged products and FATCA tax legislation to explore potential opportunities emerging in the financial sector, emphasizing its key pillars of transparency, accountability and market integrity within the centre.
3. FSRA has made improvements to its Common Reporting Standard Regulations, introduced Regulatory Guidance Principles on the regulatory approach to virtual assets (Virtual Assets 2.0 Framework), and announced Guidance Principles on whistleblowing.
4. IFC achieved “carbon neutral” status in 2022 by offsetting its 2021 carbon emissions, thereby becoming the world’s first “carbon neutral” IFC.
5. ADGM, in partnership with the UAE Sustainable Finance Working Group, led the release of the second high-level statement, ‘2022 Public Statement on Sustainable Finance Cooperation in the UAE’. This release is aligned with COP27.
6. Its registry announced proposed changes to the ADGM’s business legislation and its framework for corporate service providers through separate consultation papers.
7. ADGM Courts announces the launch of the world’s first blockchain technology for global enforcement of commercial judgments.
8. Its Arbitration Center launched the world’s first “Metaverse Mediation” to increase the reach and effectiveness of mediation as the preferred form of dispute resolution and revolutionize the way mediation is delivered globally.
9. The first edition of RESOLVE was launched as Abu Dhabi’s Dispute Resolution Forum.

Pinsent Masons partners Nasreen Othman and Jade Savager speak during the conference in light of modern arbitration #Abu Dhabi_Forum_for_dispute_settlement RESOLVE2023, On Modern Arbitration, discusses important issues in dispute resolution and factors that facilitate arbitration. pic.twitter.com/lWYGVYp7OU

— Abu Dhabi Global Market (@ADGlobalMarket) March 7, 2023

10. Abu Dhabi Finance Week (ADFW) hosts and focuses on four themed days namely Assets Abu Dhabi, Fintech Abu Dhabi, Crypto Abu Dhabi and RACE (Regulation, Awareness, Collaboration, Ecosystem). ADFW hosted more than 30 events, attracting more than 8,200 attendees.

read: ADGM Launches Crypto Hub at Abu Dhabi Financial Week 2022