UAE capital markets regulator shifts from watchdog to ‘market engineer’

The UAE’s Capital Market Authority (CMA) has transitioned from a regulatory watchdog to a "market engineer," according to the organization's chief executive, Waleed Al Awadhi. Speaking at the Meira 2026 conference in Dubai, Al Awadhi emphasized that the CMA is now a partner in the country's economic growth, working alongside regulators in Abu Dhabi and Dubai's financial free zones.

Over the past 18 months, the CMA has undertaken a comprehensive overhaul, rewriting its laws and regulations to align with international standards and support the UAE's ambitions to become an international financial services hub. The reform efforts have resulted in greater harmonization between the CMA and the key financial free zones in the UAE, including Dubai's Dubai Financial Services Authority and Abu Dhabi’s ADGM.

The UAE has been actively diversifying its economy and developing its capital markets to reduce its reliance on oil, with the regulators continually updating their frameworks to attract foreign investors and foster the global banking and financial industry. Recent efforts, such as the issuance of federal decree laws in January and the introduction of a new framework for regulating virtual assets in April, demonstrate the CMA's commitment to staying abreast of market developments.

The UAE's capital market and financial system have proven their resilience multiple times, weathering the global financial crisis of 2008, the Covid-19 pandemic, and the ongoing geopolitical unrest. This track record has instilled confidence in investors, who view the UAE as a stable long-term investment destination.