Saudi stock market milestones in focus

Chief Executive Officer of Saudi Capital Market Authority (CMA) Abdullah bin Salih Al-Suwailmi says Saudi stock market recently witnessed substantial developments in regulatory and technical areas.

Al-Suwailmi, who was addressing a forum organized by the Securitas Committee at Riyadh Chamber of Commerce and Industry (RCCI) on Saturday, said the CMA was poised to introduce new technical systems compatible with XBRL system to boost the principles of transparency and upgrade market efficiency to be more attractive.

The number of investors in the Saudi stock market exchange reached some 4.1 million in 2011 whereas the number of mutual portfolios stood at 7.4 million, he said.

He said contact had been active with non-listed and family companies to join the stock market by explaining what benefits were awaiting them in so doing. He added that the list of the biggest world companies contained 12 Saudi companies, which have not yet joined the Saudi stock market.

On opening Saudi stock market to foreign investors, the CMA chief reaffirmed the Saudi market will allow foreigners access the market and benefit from its enormous liquidity.

RCCI board member and head of securities committee Khalid Al-Migairin appreciated efforts exerted by the CMA staff in providing services to investors. Access and exchange of Saudi stock market data within Stanley Morgan Capital Index (MSCI) represents a milestone in the history of Saudi stock market, which will provide data to broader categories of investors at world financial markets, he said.

The forum comes within the framework of RCCI securities committee's efforts to acquaint investors on the latest developments of the stock market, which will, hopefully, allow them deal with the market accurately and properly.

The forum included a presentation on key services provided by the Saudi stock market to investors related to listing procedures, mechanism of contact between companies and stockholders, e-voting, profit reporting, and share inquiries.