Chairman of KSA’s capital market says it is now 90% of the total national economy
Riyadh August 2, 2021: The Financial Academy of Saudi Arabia organized the ‘Fin Talk’ forum on its digital platforms under the title the title “Capital Market Investment and its Impact on Economic Growth in the Kingdom.”
Hosting the Chairman of Saudi Arabia’s Capital Market Authority (CMA) H.E Mr. Mohammed bin Abdullah Elkuwaiz, the forum reviewed the key challenges of the financial market in KSA, CMA’s role and future investment directions and opportunities, as well as the financial technology and the protection of investors in the financial sector.
During the meeting, H.E. Mr. Mohammed Elkuwaiz, pointed out that the CMA is an important funding source besides the traditional sources from banks, indicating that the capital market creates diversified and safe investment opportunities for all segments of investors and that this diversity is one of the most important factors in reducing risks and reassuring investors.
“Development of the CMA is a continuous and ongoing process. The CMA’s target was to reach up to 85% of the size of KSA’s economy. Now, it’s over 90%, excluding Aramco. This contributed to increasing offering and listing in the CMA in addition to the growing size of the incorporated company,” he said.
The targets of CMA Development Program, which finally aim at developing the performance of the financial market, includes listing 20 companies during 2021. Indeed, during the first half, 10 companies was listed. This proves that we are moving in a proper and steady pace towards achieving our targets. In our work, we are balancing increasing the number and diversity of listed companies with our main focus of providing protection to investors together with disclosure and governance in accordance with the adopted controls and mechanisms,” he added.
Elkuwaiz indicated that the CMA’s accession to many international indicators contributed to opening the market to foreign investors and creating promising and attractive opportunities for them. Saudi Arabia has recently occupied an advanced position in many international indicators, especially governance and disclosure, where Saudi Arabia ranked among the top 3 countries in governance globally.
The “Fin Talk” is part of a series of virtual forums organized by the Financial Academy, one of the initiatives of Financial Sector Development Program for the Saudi Arabia’s Vision 2030, geared toward discussing the latest developments and changes in the financial sector, with the participation of an elite of local and international officials and specialists, to promote constructive dialogue and build effective strategic partnerships that serve the financial sector.
