Abu dhabi: The Abu Dhabi Securities Exchange (ADX) and the Budapest Stock Exchange (BSE) have signed a Memorandum of Understanding (MoU) to establish a strategic partnership aimed at enhancing collaboration on various initiatives. This significant development was announced during the state visit of President His Highness Sheikh Mohamed bin Zayed Al Nahyan to Hungary, with the signing ceremony taking place at the BSE offices, attended by Saud Hamad Al Shamsi, UAE Ambassador to Hungary.
According to Emirates News Agency, the MoU aims to deepen relations between the capital markets of the UAE and Hungary and to facilitate the exchange of best practices. The agreement is a strategic move for the BSE to expand its international relations, especially within the Middle East, while simultaneously supporting ADX’s initiatives to forge stronger ties with global financial institutions.
As part of the agreement, both exchanges will work on increasing the visibility of the Hungarian and UAE capital markets through joint events such as investor roadshows, seminars, and educational programs. They are also considering cooperation in developing and promoting Exchange-Traded Fund (ETF) products, providing investors with diversified and modern investment options. Additionally, the exchanges will explore dual listings and cross-border trading, alongside professional cooperation in Environmental, Social, and Governance (ESG) areas.
The MoU includes the sharing of best practices related to market developments, regulatory practices, product development, and IT capacity building. An important aspect of the collaboration is the potential integration of the BSE into the Tabadul Hub, an innovative platform launched by ADX in 2022 to facilitate cross-border trading via a digital network.
Abdulla Salem Alnuaimi, Group CEO of ADX, remarked on the importance of the collaboration as a milestone in ADX’s global integration efforts. He highlighted the partnership’s role in developing new financial products and exploring cross-listing opportunities, further enhancing digital connectivity through the Tabadul Hub, and reinforcing Abu Dhabi’s status as a globally connected financial center.
Tibor T³th, CEO of the Budapest Stock Exchange, stated that the partnership would not only strengthen the relationship between the two exchanges but also create new opportunities for investors in both Hungary and the UAE. He expressed confidence in the initiatives making the markets more attractive to both domestic and international investors, with Tabadul providing unique and exciting opportunities for the BSE.
This strategic collaboration is poised to create a robust platform for financial growth and connectivity between the UAE and Hungary, underscoring the shared commitment of ADX and BSE to global economic progress.