RIYADH — Mohammed Bin Abdullah Elkuwaiz, chairman of the Saudi Capital Market Authority (CMA), said that the Authority with all its components has exceeded its goal, reaching over 90 percent of the size of the Saudi economy. He said that there are 30 companies that have applied for listing in the market and this is a record number since the establishment of CMA. Elkuwaiz made these remarks while addressing the 'Fin Talk' virtual Forum with the theme of "Capital Market Investment and its Impact on the Kingdom's Economic Growth," organized by the Saudi Financial Academy here on Tuesday. The forum reviewed the key challenges of the financial market in the Kingdom, CMA's role and future investment directions and opportunities, as well as the financial technology and the protection of investors in the financial sector. "The development of CMA is a continuous and ongoing process and its target was to reach up to 85 percent of the size of Saudi Arabia's economy. Now, it's over 90 percent, excluding Aramco, and this contributed to increasing offering and listing in the CMA in addition to the growing size of the incorporated company," Elkuwaiz said. The CMA chief that the number of companies that submitted requests to be considered for listing their shares in the market currently exceeds 30 companies, which is a record number. Elkuwaiz considered that the modernization of the financial market system and the passage of a number of years, plus the communications with companies have contributed to a desire to be listed in the financial market. He noted that 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 this diversity is one of the most important factors in reducing risks and reassuring investors. "The targets of CMA Development Program, which aim at developing the performance of the financial market, include listing 20 companies during 2021. Indeed, during the first half, 10 companies were listed, and 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 said. Elkuwaiz indicated that the CMA's accession to many international indices 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 indices, especially governance and disclosure, where it ranked among the top three countries in governance. 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 under the Kingdom's Vision 2030. The academy invited all those interested in the capital market, including specialists and investors, to register to attend the virtual meeting. It is noteworthy that the meeting comes as part of a series of virtual meetings organized by the Financial Academy to discuss the latest developments and changes in the financial sector, with the participation of a group of local and international officials and specialists, to promote constructive dialogue and build effective strategic partnerships that serve the financial sector.
