The estimates of analysts and financial market experts in the UAE expected that the total cash dividends of Emirati companies listed in the financial markets will reach more than 38 billion dirhams for the year 2019.


According to a report by Al Bayan newspaper, the total proposed cash dividend for about 36 listed companies reached 31 billion dirhams, distributed over 22 companies in the Abu Dhabi market by about 23.12 billion dirhams, and 14 companies in the Dubai market, at 7.87 billion dirhams. There are still dozens of companies that have not yet announced their dividends, including Emaar and its subsidiaries.


Analysts and experts in financial markets said that the UAE companies are the highest in terms of cash dividends compared to their counterparts in the region, especially after the First Abu Dhabi Bank approved distributions of approximately 8 billion dirhams, which is the highest in the country in terms of value.


They pointed out that distributions are considered a safe haven for individual and institutional investors, and an indication of the strength of the financial solvency of the company, its enjoyment of financial liquidity and good cash flows, as it reflects the extent of the company's growth and development of its business, suggesting that the cash distributions remain at the same levels of the previous year in the range between 38 to 39 billion dirhams, to remain within good levels in light of the global trade war and geopolitical tensions.


Analysts expected that investors will re-pump distributions into the markets after their approval by the general assemblies, which will positively reflect on the momentum of the local markets and contribute to increasing and activating liquidity levels.


They mentioned that global and regional tensions could push some companies to expand distributions to keep investors and attract a new segment to compensate the category of investors who are worried about developments in the region and the world.


They pointed out that the indicators of the UAE stock exchanges have the potential to rise during the upcoming sessions, with the launch of the General Marathon for the approval of the cash dividends. However, global developments represent a temporary obstacle, but with the removal of this obstacle, they will achieve good heights.