Shares in Dubai Ports World plummeted 12.12 percent on the Dubai International Financial Exchange.

"The market is not that liquid but what is happening is the reflection of what is going on in other markets," said Hamood Abdulla Al-Yasi, general manager at Emirates International Securities.

"Customers need the cash, that is why they are liquidating and selling at such low prices," he says. At its IPO in November, DP World listed at $1.30 per share.

Kuwait's main index declined more than 2 percent on negative sentiment after trading on the bourse was suspended and fears of a global recession return.

Mobile Telecommunications Co (Zain) and National Bank of Kuwait declined 5.1 percent and 8.77 percent respectively.

Kuwait Finance House and Al Ahli Bank lost 7.35 percent and 6.76 percent respectively.

"People are cautious after the suspension, you can see that because trading volumes are very low," said Ammar Hajeyah, asset manager at Global Investment House. "This is a continuation of negative sentiment caused by what is happening in (the markets of) our GCC neighbours and globally," he said.

The benchmark fell 2.04 percent to 8,513 points. A court on Sunday accepted an appeal against a ruling that suspended dealings last week after a group of investors filed a lawsuit to halt trading to prevent further losses.

 Bahrain's main index edged up 0.06 percent to 2,033 points.

Abu Dhabi real estate shares soar as investors buy stocks they regard as cheap on expectations the UAE capital's property sector is better prepared than Dubai's to weather a downturn.

Aldar Properties, down more than 64 percent this year, jumped 7.48 percent and Sorouh Real Estate advanced 9.23 percent, having fallen almost 70 percent since Jan 1.

"It's the strength in the Abu Dhabi real estate sector which is bringing people back," says Matthew Wakeman, managing director, cash and equity linked trading at EFG-Hermes.

Emaar Properties rose 3.14 percent in early trading, lifting the index 1.44 percent to 2,010 points.

Heavyweight Air Arabia gained 4.3 percent. Abu Dhabi's main index gained 0.8 percent to 2,777 points, lifted by Etisalat which rose 2.76 percent.

Saudi's main index edged down in early trading, led by Samba Financial Group, which lost 5.67 percent.

Heavyweights Saudi Telecom Co and Saudi Fertiliser Co shed 0.44 percent and 1.32 percent respectively. The index declined 0.47 percent to 5,118 points.

Qatar's main index edged lower as a foreign sell-off continues amid fears of a global recession.

Qatar Islamic Bank fell 4.87 percent, while Qatar International Islamic Bank slumped 8.73 percent.  - Reuters