The Saudi Capital Market Authority (CMA) has 50 new files for offering in the Saudi stock market (Tadawul). This was revealed by Mohammed Al-Quwaiz, chairman of the board of the CMA, during a dialogue session at the 8th Future Investment Initiative (FII) conference in Riyadh. The authority has also concluded 100 agreements with financial consultants for the purpose of offering stocks in the market. These agreements indicate the continuation of offerings and reflect economic activity and movement in the Kingdom.
Al-Quwaiz emphasized the importance of investment funds and the asset management sector, stating that they represent real evaluation and long-term outlook. This justifies increasing the allocation percentage to them. He also highlighted the increasing volume of foreign investment in the Saudi market, which has exceeded SR400 billion and is still growing. This increase can be attributed to the Kingdom’s economic activity and performance, as well as future expectations. Foreign investors are also more willing to participate in offerings from the secondary market and play a role in pricing the offerings.
Another factor contributing to the increase in foreign investments is regulatory amendments. The CMA is in the process of reviewing rules for opening investment accounts, allowing Gulf residents to invest in the Saudi market as residents in the Kingdom. This expansion of investment scope is expected to attract more foreign investments. Al-Quwaiz’s statements shed light on the authority’s efforts to attract foreign investors and enhance the Kingdom’s position as an attractive investment destination.
The transfer of the pricing process to the sector itself was also mentioned by Al-Quwaiz. He emphasized the importance of offering sectors and their role in reflecting economic activity and movement in the market. By focusing on investment funds and the asset management sector, the authority aims to further develop the Saudi stock market and attract more investors. These efforts align with the Kingdom’s vision of diversifying its economy and attracting foreign investments to support economic growth.
The participation of foreign investors in offerings from the secondary market demonstrates their confidence in the Saudi market and its future prospects. The Kingdom’s economic performance and regulatory reforms play a crucial role in attracting foreign investments. The upcoming regulatory amendments, especially concerning the opening of investment accounts for Gulf residents, are expected to further boost foreign investments in the Saudi market. This will contribute to the growth and development of the market, making it a more attractive destination for global investors.
Al-Quwaiz’s remarks at the FII conference highlight the CMA’s commitment to reshaping the asset management industry in Saudi Arabia and attracting more foreign investments. The authority’s focus on offering sectors, investment funds, and regulatory amendments reflects its efforts to enhance the Kingdom’s position as a leading investment destination in the region. The ongoing agreements with financial consultants and the upcoming offerings in the Saudi stock market indicate a positive outlook for the Kingdom’s economy and the potential for further growth in the market.
