Post by : Mumtaaz
Qadiri
Photo: WAM
Abu Dhabi Global Market (ADGM) has continued its strong growth into 2025, building on a record-breaking year in 2024. In the first quarter of 2025, ADGM saw major improvements in key areas thanks to global investor trust, new regulations, and important projects within its expanded area on Al Reem Island.
ADGM’s Chairman, H.E. Ahmed Jasim Al Zaabi, said this strong start shows how much international and regional businesses trust ADGM. He added that ADGM is now seen as one of the safest and most dynamic places for asset and wealth management. The centre continues to attract top firms, grow global partnerships, and support digital and sustainable growth, in line with the UAE’s long-term goals.
Looking ahead, ADGM expects more global interest, especially from firms in Europe and Asia. The asset management sector showed strong performance, with assets under management growing by 33% compared to Q1 2024. By the end of Q1 2025, 119 fund managers handled 184 funds.
ADGM is the only place in the region using English common law directly, making it attractive for international businesses due to its transparency and reliable legal system. As of Q1 2025, ADGM had 2,781 operational businesses—a 43% increase from last year. The number of financial services companies also rose by 26% to 367.
The number of new business licences in Q1 2025 went up by 67% compared to Q1 2024. New companies that joined include Skadden, Investindustrial, NewVest, Arcapita, Polen Capital, Seviora, Olive Gaea, TONNE, and Aquila Group. These firms come from various sectors, showing ADGM's growing role in asset management, sustainable finance, legal services, and digital innovation.
A key focus for ADGM is human capital—meaning people and talent. More than 29,000 people now work on Al Maryah Island, a 17% increase from last year. On Al Reem Island, 3,509 new work permits were issued, showing steady growth across both islands.
To support this, ADGM launched new Employment Regulations in Q1 2025. These rules aim to protect employees better while keeping businesses flexible, making ADGM even more attractive to global talent.
ADGM was also active internationally. In January, they took part in iConnections Global Alts Miami and held high-level meetings in New York and Washington. A panel called Abu Dhabi: The Capital of Capital highlighted the emirate’s access to $1.7 trillion in sovereign wealth and its investor-friendly environment.
In February, ADGM joined Abu Dhabi’s economic delegation to China, aiming to boost economic ties. The UAE-China trade relationship is expected to reach $200 billion by 2030, and ADGM is working to be a key gateway for Chinese investment in the region.
In April, ADGM representatives visited Japan and met with 30 top financial institutions. They discussed wealth management, private banking, and family businesses—areas where Japanese companies want to grow in the region.
ADGM’s expanded jurisdiction on Al Reem Island also showed strong results. Over 600 new businesses set up there, and 500 existing companies shifted to ADGM licences. In total, 1,100 new entities now operate in ADGM’s expanded area.
To support small and medium-sized businesses (SMEs), ADGM cut licence fees by 50% or more in January 2025 for non-financial and retail firms. Now, a flat fee of AED 1,000 makes it easier and cheaper for entrepreneurs to start and grow their businesses.
In March 2025, ADGM signed an MoU with Chainlink, a leader in blockchain technology. This partnership will help create safe and regulated systems for tokenisation (turning assets into digital tokens).
New blockchain companies like Stacks Asia and Bitgrit joined ADGM in Q1 2025, benefiting from ADGM's Distributed Ledger Technology (DLT) Foundations framework. This has helped Abu Dhabi gain recognition as a blockchain innovation hub.
The Abu Dhabi Sustainable Finance Declaration, which started in 2019, now has 170 signatories, including major firms like PwC, Aquila Capital, and Century Financial. This shows a strong and growing interest in sustainable and ESG-focused finance.
ADGM also launched an all-in-one mobile app to improve services for businesses, workers, and residents. The app provides updates, helps with compliance, licence renewals, and networking.
Another tech achievement was the launch of a digital real estate platform. It allows complete online property transactions—a first in the region.
ADGM Academy created 800 job opportunities for UAE nationals in Q1 2025 across nine career areas. These efforts were backed by 23 internationally recognised training programmes.
The Academy also partnered with Arab Youth and the Federal Tax Authority to support youth and provide specialised training aligned with national goals.
Finally, the ADGM Research Centre published six research papers in Q1 2025, focusing on how artificial intelligence (AI) is shaping the UAE’s financial sector.
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