SAUDI ARABIA: CMA Opens Capital Market to all Categories of Foreign Investors

Wednesday January 7 2026

The Capital Market Authority (CMA) announced the opening of the capital market to all categories of foreign investors and enabling them to invest directly therein as of 1^st February 2026, following the CMA Board’s approval of the regulatory framework allowing non-resident foreign investors to invest directly in the Main Market. Accordingly, the capital market, across all its segments, will be accessible to various categories of investors from around the world for direct participation.

The approved amendments aim to expand and diversify the base of investors permitted to invest in the Main Market, thereby supporting investment inflows and enhancing market liquidity.

The approved amendments eliminated the concept of the Qualified Foreign Investor (QFI) in the Main Market, thereby allowing all categories of foreign investors to access the market without the need to meet qualification requirements. It also eliminated the regulatory framework governing swap agreements, which were used as an option to enable non-resident foreign investors to obtain economic benefits only from listed securities, and the allowance of direct investment in shares listed on the Main Market.

These approved amendments align with the CMA’s gradual approach to opening the market, building on previous phases and paving the way for complementary steps aimed at further opening the capital market. The goal is to position the market as an international marketplace capable of attracting greater flows of foreign capital.

The CMA published in October 2025 the “Draft Regulatory Framework for Allowing Non-Resident Foreign Investors to Directly Invest in the Main Market” on the Unified Electronic Platform for Consulting the Public and Government Entities (Public Consultation Platform) and the CMA’s website.

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