Israeli corporations can now trade on Dubai's DGCX

Israeli members will also be able to act as market makers

  
Dubai Gold and Commodities Exchange. Image used for illustrative purpose.

Dubai Gold and Commodities Exchange. Image used for illustrative purpose.

Istock

The Dubai Gold & Commodities Exchange (DGCX) said it has received a permit from the Israel Securities Authority (ISA), allowing qualified Israeli corporations who trade on proprietary basis to become members of the DGCX and to use its trading services and platforms.

Israeli members will also be able to act as market makers on the DGCX platform, the exchange said in a statement on Sunday.

The move allows the DGCX Group to introduce its diversified global products and services, including futures and options contracts that cover precious metals, energy, equities and currency sectors within Israel.

Les Male, CEO of DGCX, said: “The strengthening of ties and opening up of markets between the UAE and Israel represents an incredibly exciting moment in the DGCX story and the wider GCC region, as we continue to expand internationally by providing investors and market participants with products and services that are highly innovative and that add true value. We are delighted to be able to welcome Israeli investors and market participants to a global community of over 100 members from around the world.”

On 13 August 2020, the UAE and Israel signed the Abraham Accords, a joint peace treaty that normalised relations between the two nations. The new relationship is expected to provide trade and business opportunities for investors and businesses in the UAE and Israel.

“Our contracts have already opened a door for international traders by providing offshore access to specific regional markets, especially India, one of the world’s largest bullion-trading hubs. We look forward to opening doors for traders from Israel,” Male added.

Israeli diamond traders have already flocked to Dubai’s diamond exchange following the signing of the accord.

(Writing by Brinda Darasha; editing by Daniel Luiz)

brinda.darasha@refinitiv.com

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© ZAWYA 2021

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