Hong Kong, Saudi Arabia may approve more cross-border financial products
An exchange-traded fund tracking bonds issued by the Saudi government started trading in Hong Kong on Thursday, the first fixed-income fund listed in the territory to offer such exposure.
Apart from the fund, more products - such as a sharia-compliant Sukuk bond and a real estate investment trust - are "in the pipeline" for approval to trade between Hong Kong and Riyadh, said Julia Leung, CEO of Hong Kong's Securities and Futures Commission.
"We're very comfortable in the cross listing of whatever products," Leung told those attending the Capital Markets Forum organised by Saudi exchange operator Tadawul Group.
Hong Kong launched Asia's first ETF tracking Saudi equities in November 2024, as the two markets look to spur capital flows as diplomatic relations warm between Beijing and Riyadh.
In the last few years, Hong Kong has been seen wooing Saudi Aramco to list in the city, a deal that would allow investors in the Asian financial hub easier access to the Saudi state oil giant.
Apart from stocks, there are opportunities for bonds, derivatives and other financial products between Hong Kong and the Middle East, Hong Kong's Financial Secretary Paul Chan said at the forum, when asked about the progress of a potential listing of Saudi Aramco.
The expansion of cross-border products coincides with rising trade tensions after U.S. President Donald Trump unleashed sweeping tariff measures in April roiling global markets.
A U.S. trade court on Wednesday blocked the tariffs from going into effect, ruling that the president overstepped his authority by imposing across-the-board duties on imports from nations that sell more to the United States than they buy.
Asked how countries and companies should navigate the uncertainty of trade deals following the U.S. court block, Chan said the move would "at least bring President Trump to reason".
(Reporting by Selena Li in Hong Kong; Scott Murdoch in Sydney; Editing by Muralikumar Anantharaman and Kate Mayberry)
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Zawya
3 hours ago
- Zawya
Saudi: Lazurde turns to $3.3mln losses in H1-25
Lazurde Company for Jewelry suffered net losses worth SAR 12.50 million in the first six months (6M) of 2025, against net profits of SAR 32 million in 6M-24. Meanwhile, the sales hit SAR 1.38 billion in the first half (H1) of 2025, an annual surge of 32.37% from SAR 1.04 billion, according to the financial results. Loss per share amounted to SAR 0.22 as of 30 June 2025, versus earnings per share (EPS) of SAR 0.56 in H1-24. Results for Q2 In the second quarter (Q2) of 2025, the company incurred net losses valued at SAR 25.80 million, compared to net profits of SAR 4 million in Q2-24. Revenues hiked by 28.95% to SAR 659.60 million in Q2-25 from SAR 511.50 million in April-June 2024. Quarterly, Lazurde swung to net losses in Q2-25 compared to net profits of SAR 13.30 million in Q1-25, while the revenues declined by 8.54% from SAR 721.20 million. As of 31 December 2024, Lazurde registered 62.01% year-on-year (YoY) lower net profits at SAR 11.70 million, compared with SAR 30.80 million. All Rights Reserved - Mubasher Info © 2005 - 2025 Provided by SyndiGate Media Inc. (
Zawya
3 hours ago
- Zawya
Saudi: Alujain Corporation shifts to net losses in H1-25
Alujain Corporation swung to net losses of SAR 4.80 million in the first half (H1) of 2025, against net profits of SAR 20.26 million in H1-24. The revenues hit SAR 610.56 million in the first six months (6M) of 2025, an annual drop of 28.91% from SAR 858.96 million, according to the financial statements. Loss per share stood at SAR 0.07 in H1-25, against earnings per share (EPS) of SAR 0.29 in the same period last year. Financials for Q2 During the second quarter (Q2) of 2025, the company's net profits declined by 15.03% to SAR 12.43 million from SAR 14.63 million in Q2-24. Alujain Corporation recorded a 9.94% year-on-year (YoY) fall in revenues to SAR 342.90 million during April-June 2025, compared to SAR 380.75 million. Quarterly, the Tadawul-listed company turned to profitability in Q2-25 compared to net losses of SAR 17.23 million in Q1-25, while the revenues surged by 28.11% from SAR 267.66 million. In 2024, Alujain Corporation registered 50.70 million in net losses, marking a 38.36% YoY plunge from SAR 82.25 million. All Rights Reserved - Mubasher Info © 2005 - 2025 Provided by SyndiGate Media Inc. (
Zawya
3 hours ago
- Zawya
SAB unveils over $544mln cash dividends for H1-25
The board of Saudi Awwal Bank (SAB) approved cash dividends valued at SAR 2.05 billion for 2.05 billion eligible shares, for the first half (H1) of 2025. SAB will disburse a dividend of SAR 1 per share after deduction of Zakat, representing 10% of the share's par value, as per a bourse statement. The eligibility and payment dates will be on 20 August and 4 September 2025, respectively. In the first six months of 2025, SAB reported 4.94% year-on-year (YoY) higher net profits at SAR 4.26 billion, compared to SAR 4.06 billion. All Rights Reserved - Mubasher Info © 2005 - 2025 Provided by SyndiGate Media Inc. (
