Arab Markets made a tremendous recovery in November as trade volume increased by 60% as per the Arab Monetary Funds report. This surge in percentage signals towards investor confidence in the region and also an economic recovery in the region from the past few years. The increase in trade volume can be linked to increased investments in both domestic and foreign markets as trading conditions for regional assets improved. The positive indicators for growth of non-oil sectors also contributed positively.
The increase in percentage coincides with the new investment opportunities that are arising in the Arab world due to the Vision 2030 plans of diversification. Newly introduced infrastructure projects and government spending have also raised the activity in the market thus resulting in increased valuations of markets. Tales of AMF data showcase how investor activity increased not just in volume but also in a variety of sectors. The growth in stock trading in the technology, healthcare and real estate sectors especially stood out.
This growth in trading volumes shows that the Arab markets are rebounding from the international recession and are becoming more interlinked with the global economy. It also underlines the change towards more vibrant and diversified economies within the Arab region. In the future, the further economic growth in Arab markets is likely to stimulate investments. With great fundamentals and growing availability of funds, the Middle East will continue to be appealing to investors.
