Arabian Post Staff -Dubai
Dubai’s equity market emerged as the top performer among Gulf Cooperation Council bourses in April 2025, registering a 4.1% gain driven by robust activity in the real estate and banking sectors. This contrasts with the broader S&P GCC Composite Index, which declined by 1% during the same period, reflecting mixed performances across the region amid fluctuating oil prices and global trade uncertainties.
The banking sector played a pivotal role in Dubai’s market ascent. Dubai Islamic Bank , the largest Sharia-compliant lender in the UAE, reported an 8% year-on-year increase in net profit for the first quarter of 2025. This growth was underpinned by a 7% rise in net financing and sukuk investments, reaching AED 212 billion. DIB’s asset quality improved significantly, with impairment charges dropping by 71% to AED 407 million and the non-performing financing ratio decreasing to 4%. The bank’s shares responded positively, posting a 5.4% gain in April.
In the real estate sector, Emaar Properties experienced a 1.5% decline in its stock price, contributing to a 0.4% dip in Dubai’s main index on April 30. Despite this, the overall monthly performance remained strong, bolstered by gains in other financial institutions. Emirates NBD, for instance, saw its shares rise by 1.2%, reflecting investor confidence in the banking sector’s resilience.
Abu Dhabi’s stock market also recorded positive movement, with its index climbing 1.8% in April. First Abu Dhabi Bank , the UAE’s largest lender by assets, exceeded first-quarter profit expectations, reporting a 23% year-on-year increase in net profit to AED 5.13 billion. This performance was driven by a substantial rise in non-interest income, which grew by 22% to AED 3.8 billion. FAB’s strategic restructuring, including the appointment of Linos Lekkas as head of investment banking and a reorganisation into four operational divisions, has been positively received by investors, with the bank’s shares gaining 8.7% over the month.
Qatar’s equity markets posted a 2.2% growth in April, supported by a 1.4% increase in Qatar Islamic Bank shares. However, the broader market sentiment was tempered by declines in other sectors, such as a drop in Qatar Gas Transport’s stock ahead of its earnings report.
In contrast, Saudi Arabia’s main index experienced a slight decline of 0.1% on April 30, influenced by falling oil prices and weaker corporate earnings. Saudi Aramco’s shares fell by 0.6%, while Americana Restaurants International saw a 2.2% decrease following a drop in quarterly profits. Alinma Bank’s stock also declined by 1.2% due to a sequential drop in quarterly profits.
