In a significant development, all cash settlements for stocks and bonds listed on the Abu Dhabi Securities Exchange (ADX) will now be carried out in UAE dirhams (AED). This decision comes after a strategic agreement with the UAE Central Bank, which aims to enhance market efficiency and reduce settlement risks.
By leveraging the UAE Central Bank’s payment network, ADX seeks to provide faster, more secure, and risk-free transactions for investors. This initiative is in line with the country’s economic diversification strategy, further strengthening the UAE’s financial infrastructure and capital markets.
The transition to dirham-based settlements is anticipated to boost liquidity, attract global investors, and lessen dependence on foreign currencies. It also underscores the UAE’s dedication to monetary stability and the growth of its financial markets.
With this important step, ADX is modernizing its trading ecosystem, delivering a more robust and streamlined experience for investors in the region’s dynamic financial sector.
