Latest news with #FinancialMarketsForum2025
Asharq Al-Awsat
19-02-2025
- Business
- Asharq Al-Awsat
Saudi Arabia Leads Global Market Growth in 2024 with Over 55 Listings
Saudi Arabia's stock market has emerged as the fastest-growing in the world in 2024, with over 55 initial public offerings (IPOs) across various sectors. This surge has created diverse investment opportunities for both local and international investors, supported by major banks facilitating IPO participation. Additionally, more than 15 new listings are awaiting regulatory approval. These developments were highlighted at the Financial Markets Forum 2025, which began in Riyadh under the theme 'Empowering the Future of Financial Markets.' The three-day event, running until February 20, brings together top financial leaders and decision-makers to discuss the future of global financial markets. Saudi Investment Minister Khalid Al-Falih said the Kingdom's debt market remains underdeveloped compared to its potential, accounting for less than 4% of GDP—significantly below the G20 average of 40%. He encouraged Saudi companies to explore raising capital through bond and sukuk issuances. Saudi Arabia's next challenge is upgrading from emerging to advanced market status, he revealed. The Kingdom has already demonstrated its ability to adapt by successfully joining major emerging market indices such as MSCI and FTSE within two years of the Vision 2030 launch. Green investment Al-Falih highlighted a growing interest from Asian investors in the Saudi market, attributing this to major investments in tourism, transportation, and logistics, which have strengthened the financial sector. Regarding green investment, he said Saudi Arabia has made sustainability a key priority, moving from an oil-dependent economy to a diversified one. He cited the success of the LEAP Conference as evidence of Saudi Arabia's rising global investment influence. He also discussed the insurance sector, which currently contributes about 2% of GDP, with a target to increase this to 8%. He pointed out significant growth opportunities in specialized insurance fields, including property and life insurance. Al-Falih noted that several sectors, which were almost nonexistent before Saudi Vision 2030, have since experienced substantial growth, with some achieving double-digit annual increases despite global economic challenges, including the COVID-19 pandemic. UK-Saudi trade relations UK Investment Minister Baroness Ruby McGregor-Smith reaffirmed Britain's commitment to expanding trade with Saudi Arabia. She highlighted efforts to increase direct flights and facilitate electronic visa applications to strengthen economic ties. Speaking at a panel discussion, she emphasized the UK-Saudi strategic partnership, stating that the upcoming free trade agreement between the UK and the Gulf Cooperation Council (GCC) could boost trade by 18%. She also stressed the importance of fostering business relationships through joint events to drive economic cooperation. Regarding renewable energy, the minister praised Vision 2030 as a global model for sustainability and environmental responsibility. Moreover, she underscored the UK's strengths as an investment hub, citing its modern industrial strategy, robust financial infrastructure, and world-class academic institutions as key factors attracting investors. Saudi stock market Sarah Al-Suhaimi, Chairperson the Board of Directors of Saudi Tadawul Group, described the forum as a key platform for discussing the resilience of financial markets amid evolving economic conditions and identifying emerging opportunities. Meanwhile, Tadawul CEO Mohammed Al-Rumaih noted that Saudi Arabia's stock market recorded more than 55 IPOs in 2024, with exceptionally high subscription rates—exceeding 1,000% in the main market and 400% in the parallel market (Nomu). Saudi Arabia had the highest number of company listings worldwide in 2024, marking a significant milestone, he stated. 'We celebrated the listing of 400 financial instruments and launched a new capital system—one of our most innovative developments,' he added. With 15 banks now active in the Saudi stock market, IPO subscriptions have surged, with Nomu witnessing a 50% increase. The forum featured panel discussions on global economic trends, regional market shifts, capital allocation strategies, and investment opportunities amid economic transformations. Topics included the role of commodities in driving economic growth in the Gulf Cooperation Council, strategies for financing renewable energy projects, and infrastructure investments to support Saudi Arabia's sustainability goals.
Asharq Al-Awsat
19-02-2025
- Business
- Asharq Al-Awsat
Saudi Arabia Launches 'Edaa Connect' to Streamline Access to Investment Funds
The Securities Depository Center, part of the Saudi Tadawul Group, has launched Edaa Connect, a platform designed to enhance access to investment opportunities in funds within the Saudi financial market. Announced on the first day of the Financial Markets Forum 2025, the platform aims to offer a seamless investment experience by integrating various fund options, making subscription and redemption processes more efficient for investors. According to Edaa, the platform provides significant advantages for fund managers by offering advanced tools to optimize their operations. It also increases fund visibility and accessibility, allowing managers to reach a broader investor base and fostering greater competitiveness in the market. Edaa CEO Hanan Mohammed Alshehri described the launch as a major milestone, emphasizing its role in improving portfolio management, decision-making, and overall investment efficiency. Edaa Connect would contribute to the ongoing evolution of the Saudi financial market by simplifying investment processes and enhancing market transparency, she added. The platform integrates with existing financial services but focuses specifically on funds not listed on Tadawul Saudi, ensuring a comprehensive and tailored experience for investors. This initiative strengthens the accessibility of the investment fund market and supports broader market participation.
