RIYADH, Saudi Arabia, July 14, 2025 (GLOBE NEWSWIRE) — The Saudi Capital Market Authority (CMA) has approved a set of amendments that includes a set of facilitations related to the procedures for opening and operating investment accounts for certain categories of investors.
The amendments aim to keep pace with regulatory and technological developments in the Kingdom of Saudi Arabia and to facilitate investment in the Saudi capital market by enhancing the procedures for opening and operating investment accounts, including the addition of new investor categories and regulating transactions related to those accounts. These changes are expected to strengthen the attractiveness of the Saudi capital market to both local and international investors, enhance investor protection, and reinforce the confidence of market participants.
According to the announcement by CMA, the requirements for opening an investment account for individual foreign investors residing in one of the GCC countries have been revised. Additionally, the scope of securities they can directly invest in has been expanded to include the shares of listed companies in the Saudi Main market (TASI). Prior to these facilitations, their access was limited to the debt instruments market, the Parallel Market (Nomu), investment funds, and the derivatives market. Furthermore, trading in the main market was previously restricted to being a final beneficiary under a swap agreement with a Capital Market Institution or as a client of a Capital Market Institution that made investment decisions on their behalf.
Additionally, the approved amendments introduce a new investment opportunity for who previously resided in the Kingdom or GCC countries. For the first time, these investors will continue operating their investment account and investing in listed shares in the main market even after their residency ends and they return to their home country. This change not only strengthens investor confidence but also reinforces the perception of Saudi Arabia as a long-term investment destination.
Notably, foreign investment in the Saudi capital market has seen significant growth over the past four years. The value of foreign ownership in the market reached over SAR 500 billion by the end of Q1 2025. Net foreign investment amounted to SAR 218 billion by the end of last year, up from SAR 140 billion in 2021. The value of sustainable investments held by QFI reached approximately SAR 7.8 billion by the end of 2024, an increase of 29% compared to 2023.
The CMA has previously introduced several improvements and development initiatives related to foreign investors, aiming to stimulate investment, enhance the market’s attractiveness and efficiency, and draw in greater foreign capital. Among the most notable of these initiatives is the announcement of allowing foreign investment in real estate listed companies operating in Makkah and Madinah.
