Global asset management giant BlackRock Inc. has obtained a commercial license to operate in Abu Dhabi, signaling its intent to deepen ties and expand operations across the Middle East. The firm is now seeking regulatory approval to establish a base in Abu Dhabi Global Market (ADGM), the city’s financial hub, to collaborate with sovereign wealth funds, wealth managers, and investment vehicles.
Strategic Importance of Abu Dhabi
Charles Hatami, BlackRock’s Head of the Middle East, praised Abu Dhabi’s rapid transformation into a global financial center. “Its strategic location, proactive government policies, and commitment to sustainable growth make it an ideal location for capital markets,” he said.
This move aligns with the asset manager’s regional growth strategy, especially as Abu Dhabi and Riyadh position themselves as key competitors to Dubai as business hubs. Abu Dhabi and Riyadh collectively manage over $1 trillion in sovereign wealth, solidifying their standing among the largest wealth funds globally.
Expanding Across the Region
- In Saudi Arabia, BlackRock secured approval to establish its regional headquarters in Riyadh in October. The firm also received $5 billion from Saudi Arabia’s Public Investment Fund (PIF) to invest in the region and build a team in Riyadh.
- BlackRock has partnered with Sheikh Tahnoon Bin Zayed Al Nahyan to develop energy infrastructure and warehouses, marking one of its largest regional investments.
Leadership Updates and Focus Areas
BlackRock appointed Mohammad Alfahim as head of its UAE operations, while Ben Powell has been named the first Chief Strategist for Middle East and Asia Pacific investments. The firm is also prioritizing private markets, including AI infrastructure, as a key growth area in the region.
Larry Fink, CEO of BlackRock, highlighted the importance of operations in both Abu Dhabi and Riyadh, given their growing financial influence and competitive positioning.
