CMA: 300% Increase in Foreign Investors’ Ownership Value in the Saudi Capital Market during the Last 5 Years
RIYADH, Saudi Arabia, Nov. 20, 2023 (GLOBE NEWSWIRE) -- The value of foreign investments in the Saudi capital market has increased by 300% over the past five years, specifically from 2018 to the end of 2022, reaching SAR 347.01 billion by the end of the period. This constitutes 14.2% of the total value of the free float in the main market, compared to SAR 86.86 billion in 2018, which represents 3.77% of the total value of free float shares in the main market for that year.
- Since allowing foreign investors to directly invest in the capital market in 2015, the Saudi Capital Market has evolved from a local market to one where the foreign investor participates in daily trading at rates exceeding 17%, compared to less than 4% before.
- Since the Saudi capital market joined the major emerging market indexes in 2019, the rate of increase in foreign investments throughout 2022 has been the highest.
- Binghannam added that the CMA exerted strenuous efforts during the previous period to increase foreign investors' participation in the Saudi capital market.
- One of the strategic objectives of the CMA's plan is to raise the attractiveness of the market to foreign investors.