The United Kingdom is actively deepening its economic partnership with the United Arab Emirates, seeking to attract more UAE companies to dual-list on the London Stock Exchange (LSE). Emma Reynolds, the UK’s Economic Secretary to the Treasury, emphasized the significance of this strategic relationship in a recent interview with The National.
A Critical Economic Partnership
Describing the UAE as a “hugely important economy” for Britain, Reynolds highlighted the longstanding and robust ties between the two nations. “We signed a memorandum of understanding (MoU) on financial services in October 2023, and I have been discussing concrete follow-up steps to strengthen collaboration,” she said. Areas of focus include dual listings, open banking, FinTech innovation, and sustainable finance.
During her recent visit to Abu Dhabi for the Investopia conference, Reynolds met with high-ranking officials to reinforce financial cooperation. This marked her first international visit since assuming office in January, reflecting the priority the UK places on its economic relationship with the UAE.
Boosting Dual Listings and Capital Markets
The UK government is particularly keen on encouraging more UAE-based companies to list their shares on the LSE. “We have seen successful dual listings in the past, and we would like to see more in the future,” Reynolds stated.
The UAE has witnessed a surge in stock market activity, fueled by its ongoing economic diversification efforts. In the past year alone, major corporations such as Talabat Holding, Lulu Group, ADNH Catering, NMDC Energy, and Alef Education have gone public on UAE stock markets. In February, technology firm Alpha Data raised Dh600 million through an initial public offering on the Abu Dhabi Securities Exchange (ADX), underscoring the region’s dynamic investment climate.
Reynolds underscored the UK’s strength as a global financial hub, asserting that London remains the premier capital market in Europe. “Last year, our stock exchange raised more capital than the next three largest European exchanges combined,” she noted. “We are committed to enhancing market liquidity and fostering international partnerships to create optimal global economic conditions.”
UAE Investments Powering the UK Economy
Beyond financial markets, the UAE continues to make substantial investments in the UK across diverse sectors. Abu Dhabi’s ADQ, a major holding and investment company, issued a $2.5 billion bond last year, with a primary listing on the LSE and a secondary listing on the ADX. The bond, which attracted 4.4 times more demand than its offering, showcased the UAE’s confidence in London’s financial ecosystem.
Reynolds also acknowledged the UAE’s deep economic footprint in the UK, with major investments in renewable energy, technology, and sports. Notable projects include DP World’s £2.7 billion investment in UK ports and logistics, as well as Masdar’s £4 billion commitment to clean energy initiatives in Britain.
“We see a thriving, mutually beneficial partnership,” Reynolds stated. “Many UK firms choose the UAE as their regional headquarters, and Emirati companies continue to play a key role in the UK’s economic growth. This is a win-win for both nations.”
As economic ties between the UK and UAE strengthen, both countries are poised to capitalize on emerging opportunities in finance, investment, and sustainable growth, further solidifying their status as global economic powerhouses.