The Arab Monetary Fund published the 121st issue of its quarterly bulletin, reporting an overall improvement in Arab stock market performance in the second quarter of 2025. The Fund’s composite index rose 1.55% quarter-on-quarter and 6.73% year-on-year, with 11 Arab exchanges ending the quarter higher despite declines in aggregate market size and trading activity. The Palestine Exchange led gains at 18.29%, followed by Dubai (11.96%) and Abu Dhabi (6.28%), while four markets fell, led by the Saudi Exchange (-7.16%) and Iraq (-4.33%). Total market capitalisation across Arab exchanges declined 2.42% to USD 4,221.54 billion and trading values fell 8.04% to USD 230.38 billion. The bulletin linked the index performance to rising oil prices, easing global trade tensions and accommodative monetary policy, including the US Federal Reserve holding rates, rate cuts by the Bank of England and the European Central Bank, most Gulf central banks keeping rates unchanged, and the Central Bank of Egypt lowering its deposit rate to 24%.
Arab Monetary Fund 2025-07-31
Arab Monetary Fund bulletin reports Arab stock market index up 1.55% in Q2 2025 while market capitalisation declines
The Arab Monetary Fund's quarterly bulletin reported a 1.55% quarterly and 6.73% annual rise in its composite index, with 11 Arab exchanges posting gains despite a 2.42% decline in total market capitalisation and an 8.04% drop in trading values. The index's performance was attributed to rising oil prices, easing global trade tensions, and accommodative monetary policies, including rate adjustments by major central banks.