Saudi Arabia’s capital market continues to attract strong international interest, with net foreign investments reaching SAR 218 billion (approximately USD 58.1 billion) in 2024—an increase of 10.1% compared to the previous year. This growth reflects global confidence in the Kingdom’s financial system and the effectiveness of its structural reforms.
According to the annual report released by the Capital Market Authority (CMA), total foreign ownership in the main market reached SAR 423 billion, representing around 11% of the free float shares. This milestone highlights the impact of recent measures aimed at enhancing market transparency, accessibility, and efficiency.
The report also highlighted a record expansion in Islamic finance instruments, including sukuk and other debt instruments, which reached SAR 663.5 billion. This, along with the increase in assets under management (AUM) to over SAR 1 trillion, further reinforces the strength and depth of the Saudi capital market.
Capital market development is a key pillar of Vision 2030, Saudi Arabia’s strategic plan to diversify its economy and establish itself as a regional financial hub. Within this framework, the Financial Sector Development Program—one of the 13 Vision Realization Programs—aims to make the sector more open, competitive, and attractive to both local and international investors.
Saudi Arabia’s progress has also been recognized globally. In the World Competitiveness Yearbook 2024 by the International Institute for Management Development, the Kingdom ranked first among G20 nations in four key capital market indicators, including the Capital Market Index, Stock Market Capitalization Index, Shareholder Rights Index, and Venture Capital Index.
CMA Chairman Mohammed bin Abdullah El-Kuwaiz commented on the report by emphasizing the significant transformation underway in the Kingdom’s capital market and its growing global stature. He noted that the 2024–2026 strategic plan will focus on deepening the market, increasing liquidity, expanding the investor base, and enhancing overall competitiveness.
Saudi Arabia’s trajectory in capital market development presents a compelling opportunity for companies and investors looking toward the MENA region, reaffirming the Kingdom as one of the most dynamic and promising emerging markets.
Sources:
https://en.maaal.com/archives/202505/for-the-first-time-aum-value-in-saudi-financial-market-exceeds-trillion-riyal-barrier-by-the-end-of-2024/?utm_source=chatgpt.com
https://www.arabnews.com/node/2601454/business-economy