The Capital Market Authority (CMA) has approved a set of regulatory amendments to streamline the procedures for opening and operating investment accounts for various investor segments, including both local and foreign investors.
The updated framework, now effective upon publication, is part of the broader initiative to revise the “Investment Accounts Instructions, Rules for Foreign Investment in Securities, and Financial Market Institutions Regulations.”
Key objectives of these amendments include:
- Keeping pace with regulatory and technological developments in Saudi Arabia,
- Facilitating broader access to the Saudi capital market,
- Expanding the inclusion of foreign investors,
- Enhancing investor protection and boosting market confidence.
Highlights of the new regulations:
- Foreign natural persons residing in GCC countries are now allowed to invest directly in listed shares on the main market, expanding beyond their previous limited access to debt instruments, derivatives, and funds.
- Former residents of Saudi Arabia or GCC states can now maintain and operate their investment accounts even after their residency ends, provided the account was previously opened in the Kingdom.
- Operational procedures for financial institutions’ clients have also been streamlined.
The amendments follow a public consultation conducted in November 2024 via the National Competitiveness Center’s “Istitlaa” platform and the CMA’s official website. Updated versions of the amended rules and regulations are now available on the CMA’s website.
