The Capital Market Authority emblem
The Fitch Company mentioned that the monetary market is obtainable to place off the debt instruments within the sukuk and debt instruments market via collective financing platforms by securities by the monetary market establishments licensed to rearrange, is a constructive step in the direction of deepening the market and debt market in Saudi Arabia.
She added in a press release, that the authorized framework permits corporations which have a experimental allow within the discipline of monetary know-how or these all for offering this service to acquire the suitable license to follow it as a monetary market establishment, and this may increasingly result in the growth of the problem and the arrival of particular person traders inside the scope of licensed capital market actions.
She defined that the momentum throughout the experimental part was constructive – the scale of the devices issued via this mannequin doubled to greater than twice to succeed in about 3.4 billion riyals in 2024 from 1.5 billion riyals in 2023, and the variety of licenses elevated from 14 to 17. Whereas the participation of particular person traders in native publications of the federal government continues to be lower than 1 % till the tip of the primary half 2025.
She said that sustainable development will rely on the implementation components akin to platform governance, the suitability of traders, the standard of disclosure, the governance of Islamic legislation of sukuk, cybersecurity, and operational flexibility, indicating that the simultaneous organizational developments – which embrace governance, knowledge safety, truthful competitors, cyber safety and precautionary controls – will probably be necessary with the growth of monetary know-how fashions, to finish the framework of the monetary market physique.
She added that from a strategic standpoint, it goals to permit the licensed establishments to rearrange to mediate collective financing to diversify and assist the sustainability of corporations financing and increase the scope of traders, consistent with the targets of the Capital Market Authority to deepen the debt market and improve their attractiveness to exporters and traders. The amendments which are appropriate with the foundations for displaying securities and steady obligations, the foundations of particular functions, and the laws of the capital market establishments are indicated to a coordinated method that helps the aims of the authority.
