Daily Management Review

Saudi Arabia to open doors to foreign investors


10/23/2017


Saudi Arabia is pondering a plan that will allow non-residents to become strategic investors in companies whose shares are quoted on the exchange, reports Bloomberg.



pixabay
pixabay
The capital market department (CMA) and the Saudi Arabia General Investment Authority (SAGIA) signed a memorandum on the creation of a structure allowing foreigners to own 10% or more of the shares of publicly traded companies and giving investors the right to vote, the October 22 statement said. These rules will not apply to sectors in which such property is prohibited by law.

Saudi Arabia is going to open its markets and place shares of key companies, including Saudi Arabian Oil Co., on its stock exchange. This happens in the framework of nationwide reforms designed to reduce the country's dependence on oil revenues.

In June, MSCI Inc., engaged in the calculation of indices, decided to consider the question of including the kingdom in the index of emerging markets next year. The market capitalization of the Tadawul Stock Exchange is about $ 440 billion; this is the highest figure among Arab countries. 

"For some time, SAGIA has been working hard to establish simpler rules for foreign direct investment," said an analyst at Exotix Partners LLP in Dubai, "This coordination with CMA for listed shares now also serves as a good sign for foreign inflows investments ".

The government issued 87 licenses for investment projects in the kingdom in the third quarter, which is more than 60% higher than the figure for the same period last year. 

source: bloomberg.com

 






Science & Technology

Apple to present Netflix competitor at the end of March

Live Human Under-Skin Chip Implantation Takes Place At Barcelona

IDC: Wearable tech gadgets market is booming

Second Patient In 12 Years Becomes HIV Free By Bone Marrow Transplantation

Car-Sharing Platforms Could hold The Key To 5G & Auto Industry Collaboration

Bezos tells about his space plans

Fast Company: Apple isn't the most innovative anymore

U.S. Space Program Could Be Delayed Due To SpaceX, Boeing Design Risks: Reuters

What trends will be affecting the health sector in the coming years?

Deloitte identifies main cyber threats for power industry

World Politics

World & Politics

Largest companies reveal volumes of plastic produced by them

US Warning To Germany About Intelligence Sharing Over Huawei Ban

Mercer reveals the world’s safest cities

No vaccinations, no school: Italy’s new law

Why the new Aachen Treaty cannot save France-Germany relation

The Netherlands and France are arguing over Air France-KLM

Study: 6 of the 10 healthiest nations of the planet live in Europe

Countries On Huawei Technology Systems Won’t Be On U.S. Partner List