Al-Quwaiz: We are working with Tadawul to stimulate liquidity in (Nomu)

Mohammed Al-Quwaiz, Chairman of the Capital Market Authority, said that the Authority is working with Tadawul to stimulate liquidity in the parallel market – Nomu, whether by increasing the offered quantity or free capitalization, or searching for other means to increase liquidity, including expanding the investor base in the Nomu market, stressing that the attractiveness of the financial market for small and medium enterprises has increased in the past period.

Al-Quwaiz confirmed, speaking at the CEO Forum organized by the Small and Medium Enterprises Authority, that the Saudi financial market has achieved significant growth in recent years, noting that. With the beginning of Vision 2030, the Saudi market was ranked 25th globally in terms of size before reaching the seventh currently. This reflects its major transformation to become a mirror of the real economy in the Kingdom.

He added: The Saudi financial market has become a point of attraction not only for local entrepreneurs, but also for entrepreneurs from outside the Kingdom, indicating that the current responsibility lies in facilitating the transition of international companies to the Saudi market, and enabling them to offer and list their companies in this thriving market. He added, “However, some obstacles remain, the most important of which are the challenges related to zakat and tax when these companies move from abroad.” He continued: Developing the debt market is a crucial element in enhancing the ability of the economy and companies to expand and finance. There is great scope for expansion in this aspect, as the debt market must be more mature to support local financing, indicating that the percentage of small and medium enterprises of the total listings in the financial market reached about 55%.

Al-Qwaiz confirmed that the Capital Market Authority has recently worked on reviewing public views on one of the largest amendments to the regulations for offering and listing securities, indicating that these amendments focus mainly on facilitating the offering and listing processes in the debt market.