The Dubai Financial Market and Abu Dhabi Securities Exchange plan to adopt a delivery versus payment (DvP) system, which is the global standard, on April 28, a key step in bolstering the country’s chances of earning the coveted MSCI market status.

But market participants, including brokers and custodians, have been given more time to implement the process after a few concerns emerged, Abu Dhabi Securities Exchange said.

“We have received a few concerns regarding the readiness level of the market participants. Therefore, we hereby kindly ask custodians and brokers to confirm their readiness by no later than May 29,” the statement said.

A spokesman for the Dubai bourse said the DvP system will be implemented from April 28 and brokers who are ready can utilize the system from then. Others will be given time till May 29.

MSCI will announce in June whether it will upgrade the UAE and Qatar from the ‘frontier markets’ category, a move that could open up the countries’ bourses to multibillion dollar liquidity and drive index fund investments.

Many traders are pessimistic over whether MSCI will upgrade the UAE, with low volumes and regional political unrest cited as likely deterrents.

“These developments have not been planned just keeping in mind the MSCI tag. Its great for the markets if we are upgraded this year but its more important to protect the interests of all market participants,” said Arindam Das, regional head of custody at HSBC.

“These changes cannot be implemented in a single day,” Das said, adding that the bank received positive feedback from clients in the UK and Europe about the new settlement system during a recent roadshow to explain the initiatives but wanted more time to prepare for it.