Latest news with #MohammedElKuwaiz
Argaam
2 days ago
- Business
- Argaam
Future development stages to focus on asset management: ElKuwaiz
Mohammed ElKuwaiz, Chairman of the Capital Market Authority (CMA), said the strength of the Saudi capital market showed a significant shift in its global development. Speaking at a panel discussion at Aseer Investment Forum on May 27, ElKuwaiz said the market is no longer viewed merely through the lens of investors, but also through the lens of entrepreneurs seeking funding. As a result, the market currently plays a dual role in both investment and financing. He added that the major leap witnessed by the capital market is evident in the remarkable increase in listings and offerings. In recent years, the number of listings in both the Main Market and Nomu reached nearly 40 and 50. Thus, the local market ranked eighth in the world in terms of market cap as well as the size of offerings and listings. He noted that the increase in listings was accompanied by diversity in sectors and corporate sizes, with 60% of listed companies in the market being small and medium-sized enterprises (SMEs). The Chairman also pointed out that this development included the diversity of investment and financing tools. "Today, we're talking about the stock market and the asset management industry, with investment funds surpassing SAR 1 trillion in assets under management (AUMS) in 2024." The debt instruments sector and the debt market are now nearly equal in size to the asset management sector. Additionally, the diversity of investor categories—including local, individual, international, and institutional investors—contributes to greater market stability, ElKuwaiz said. Saudi Arabia has the most mature stock market, and the next stages of development will focus on the asset management industry, which surpassed SAR 1 trillion, equivalent to roughly one-tenth of the local stock market cap of SAR 10 trillion. This demonstrates the significant growth potential for this sector in the coming period, whether in traditional assets such as equity and bond funds, real estate funds, or venture capital funds. The Chairman added the debt market in the Kingdom is smaller than the capital market, amounting to nearly SAR 1 trillion, compared to the equity market. However, in the past two years, the volume of financing through the debt market surpassed financing in the capital market, reflecting enormous upcoming financing opportunities.
Arab News
13-05-2025
- Business
- Arab News
SMEs account for 30% of listed companies in Saudi Arabia: CMA chief
JEDDAH: Small and medium enterprises now constitute 30 percent of listed companies in Saudi Arabia, following significant efforts by the Capital Market Authority to streamline the listing process and enhance the parallel market, according to CMA Chairman Mohammed El-Kuwaiz. Speaking during 'Finance Week' at the SME Support Council — an event organized by the Small and Medium Enterprises General Authority, also known as Monsha'at — El-Kuwaiz underscored the regulator's commitment to broadening financing options and encouraging more SMEs to enter the capital market. According to the Saudi Press Agency, El-Kuwaiz highlighted the 2017 launch of the parallel market, Nomu, as a major milestone in expanding access for smaller firms. Since then, 14 companies have successfully moved from Nomu to the main market, underscoring the strength of the investment ecosystem. The Kingdom is targeting a 35 percent contribution from the SME sector to its gross domestic product by 2030, in line with the Vision 2030 economic diversification plan. El-Kuwaiz noted that the Nomu index has grown tenfold since its inception, with market capitalization soaring 26 times to nearly SR60 billion ($16 billion) by the end of 2024. Liquidity has also surged, with trading values reaching approximately SR14 billion this year — an eightfold increase. To further ease capital market access, the CMA has introduced a suite of new tools, including direct listings and regulatory simplifications, in collaboration with strategic partners. As a result, companies now have access to nine distinct financing options, most of which were developed in recent years. The CMA chief also pointed to the rapid growth of the fintech sector within capital markets, with revenues more than doubling — up 105 percent compared to 2023. He emphasized the growing importance of credit ratings and evaluations in securing financing, particularly through debt instruments, which are increasingly vital for fostering sustainable growth in the financial sector.
Leaders
12-05-2025
- Business
- Leaders
CMA Chairman: SMEs Make Up 30% of Listed Companies in Saudi Market
Mohammed ElKuwaiz, Chairman of the Capital Market Authority (CMA), highlighted significant progress in supporting small and medium enterprises (SMEs) in Saudi Arabia's capital market. Speaking at the SME Support Council during 'Finance Week,' hosted by Monsha'at (the Small and Medium Enterprises General Authority), ElKuwaiz noted that the Kingdom has made considerable efforts in recent years to encourage public listings and diversify financing options for SMEs. He pointed out that companies in the Saudi market now have access to nine different financing options, most of which were introduced recently. Among the key initiatives, the launch of the Nomu Parallel Market stands out as a major enabler, easing the path for SMEs to enter the capital market. CMA According to a CMA press release, SMEs now represent 30% of listed companies in the Saudi capital market. Fourteen companies have successfully transitioned from Nomu to the main market, demonstrating the effectiveness of the CMA's supportive investment environment. ElKuwaiz reported that the Nomu Index has grown tenfold since its inception, with market capitalization soaring 26 times to nearly SAR 60 billion. Trading volumes also saw a significant boost, with liquidity increasing eightfold and total trades reaching SAR 14 billion in 2024. The CMA has overhauled listing requirements to align with global best practices, introducing direct listings and lowering regulatory hurdles through partnerships with strategic stakeholders. To further encourage listings, over 14 incentives have been launched in collaboration with various entities, targeting areas such as government procurement, credit ratings, and evaluation standards for listed firms. Fintech ElKuwaiz also underscored the growing influence of financial technology (fintech) in the capital market, noting that the sector's revenue surged by 105% compared to 2023. He emphasized the importance of credit ratings and company evaluations in improving access to financing, particularly through debt instruments, which are vital for sustainable market growth. Related Topics : Kafalah Program Boosts Saudi SMEs with 17% Growth in Q1 2025 Saudi Arabia's SMEs Record Highest Employment Growth in 10 Months Saudi Post SPL Wins 2024 TradePost Global Award for its SMEs Platform CMA Launches Public Consultation on New Investment Product for Parallel Market Short link : Post Views: 13
Argaam
28-01-2025
- Business
- Argaam
Foreign Investments in Saudi exchange hit SAR 400B by 2024-end: ElKuwaiz
Mohammed ElKuwaiz, Chairman of the Capital Market Authority (CMA), said foreign investments in the Saudi exchange exceeded SAR 400 billion by the end of 2024. He added that the decision issued yesterday by the authority to allow foreign investors to own shares in listed real estate companies investing within Makkah and Madinah aims to further boost foreign investments in the Saudi exchange. This aims to support the Financial Sector Development Program and the objectives of Vision 2030, ElKuwaiz noted.
Argaam
27-01-2025
- Business
- Argaam
55 IPO files on CMA table, 20% from real estate firms: Chairman
Capital Market Authority (CMA) Chairman Mohammed ElKuwaiz said real estate firms now hold a larger ratio of companies seeking to list shares in Saudi Arabia and the funds raised in initial public offering (IPO). Currently, around 55 IPO and listing applications are under review in Saudi Arabia, with real estate companies accounting for 20% across various categories and services. Speaking at the Real Estate Future Forum, ElKuwaiz noted that assets under management (AUM) in real estate funds grew by about 23% in 2024. These funds now represent around 25% of total AUM in Saudi Arabia, with total managed assets exceeding SAR 1 trillion. He added that a quarter of these assets are in private and public real estate funds or REITs, highlighting the sector's growing influence in asset management. ElKuwaiz also said the revival of real estate contributions is a subset of real estate funds, focusing on smaller projects. The first real estate contribution certificates are expected to launch in the coming weeks.
