Foreign investment levels and sukuk funds among milestones revealed by CMA report

Key Financial Achievements:

Sukuk and Debt Instruments:
- Raised SR29.95 billion ($8 billion).
- The sukuk and debt instruments market reached 18.3% of GDP.
- 70 sukuk and debt instruments listed.
- Significant growth in sukuk and debt capital market since 2019, with unlisted issuances growing annually by 9.6%.
- Total corporate sukuk and debt market size reached SR125 billion.
Foreign Investments:
- Secured SR198 billion in foreign investments, marking a 7.7% increase from the previous year.
- Foreign investor ownership rose to SR401 billion.
Market Activity:
- Traded values increased to SR2.5 billion.
- Transactions surged from 3,722 in 2021 to 36,961 in 2023.
- Individual investor participation increased to 12.5%.

Regulatory and Market Developments:

New Regulations and Amendments:
- Approved new regulation and amended four existing principles, rules, and instructions.
- Sanctioned Real Estate Contributions Law to strengthen the legislative framework.
- Introduced Rules for Foreign Investment in Securities.
- Updated critical regulations such as:
  - Implementing Regulations of the Companies Law for Listed Joint Stock Companies.
  - Capital Market Institutions Regulations.
  - Instructions for Company Announcements.
  - Investment Accounts Instructions.
Market Listings:
- 43 new listings, a 79% increase from the target.
- Seven companies listed in the main market.
- 29 companies listed in the parallel market.
- Six direct listings in the parallel market.
- One traded real estate fund.

Strategic Initiatives:

Debt Market Development Strategy:
- Fostered market growth and enhanced liquidity.
- Canceled CMA’s share of the trading commission on sukuk and bonds.
Global Financial Market Rankings:
- Ranked first among G20 countries in the Board of Directors Index.
- Secured second place in key indices such as:
  - Ease of Access to Financial Markets Index.
  - Stock Market Capitalization Index.
  - Shareholder Rights Index.
  - Venture Capital Index.
- Improved position in six out of 12 financial market indicators according to the IMD World Competitiveness Yearbook.

Impact and Future Outlook:

The CMA’s efforts align with Saudi Vision 2030, aiming to enhance market vibrancy, governance, and investor protections.
Continuous collaboration with the Financial Sector Development Program to foster market development.
Focus on adopting best practices and digitalizing trade processes to attract global investors.

These achievements underscore Saudi Arabia’s commitment to developing a robust and competitive capital market, contributing to the Kingdom’s economic diversification and long-term financial stability.