Saudi Arabia to open stock market to foreign investment
Saudi Arabia plans to open its stock market, the Arab world's biggest, to direct investment by foreign financial institutions in the first half of next year, the market regulator said.
The opening of the Saudi market, capitalised at about €394bn, is one of the most keenly awaited economic reforms in the largest oil exporting nation.
Saudi authorities want to open the stock market to create jobs, diversify the economy beyond oil and expose local firms to more market discipline.
But the government has delayed implementing the reform, apparently concerned about causing volatility in the market as well as the political sensitivity of allowing foreigners to build up large stakes in top Saudi companies.