Starting from February 28
Dubai Financial brings the maximum price drop to 10%
The market attracted 4,027 new investors in 2020. Archives
The Dubai Financial Market announced yesterday that it will reinstate the maximum normal rate of decline in listed stock prices during one session, which is 10%, starting from the trading session on Sunday, February 28, 2021, in implementation of the decision issued by the Council of Ministers in this regard.
The market had temporarily lowered the percentage to 5% last March, with the maximum price hike remaining at 15%, as part of measures aimed at reducing market fluctuations due to the repercussions of the Coronavirus pandemic.
The chief executive of the Dubai Financial Market, Hassan Al Sarkal, said, "The re-activation of the usual maximum price drop comes in light of the clear flexibility that the market has shown in absorbing the sharp fluctuations in global financial markets as a direct reflection of the repercussions of the pandemic."
He added, “The market has maintained its usual pace of business thanks to its advanced technical and organizational capabilities, and has clearly benefited from the numerous economic stimulus packages that the wise leadership has launched, making the UAE admired and appreciated by the world, and placing it at the forefront in terms of speed of interaction and effectiveness of solutions ».
Al-Serkal pointed out that "all performance indicators showed a remarkable improvement during the last period, as the general index rose by 56% compared to its lowest level in 2020, which was achieved last April in the midst of global market fluctuations."
He explained that «the total value of trading increased during the past year by 24% to 66 billion dirhams, which reflects the confidence of local and international investors in the market and its retention of attractiveness to investors, as it attracted 4,027 new investors during 2020, including 2,350 foreign investors».
The market temporarily lowered the ratio to 5% last March.
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