Saudi Gazette report

RIYADH — The value of assets under management (AUM) in the Saudi capital market exceeded SR1 trillion for the first time by the end of 2024, recording a growth rate of 20.9 percent compared to the previous year, according to the 2024 Annual Report published by the Capital Market Authority (CMA).

The number of investment funds rose to 1,549, while the number of subscribers in public and private funds exceeded 1.72 million, an increase of 47 percent during the year 2024, compared to 2023. This reflects the sustained momentum in the growth and development of the Saudi capital market.

The report highlighted exceptional achievements and record-breaking figures across various regulatory, legislative, and developmental areas, reinforcing the Kingdom's position as an attractive destination for both local and international investment and demonstrating the rapid progress toward the goals of Saudi Vision 2030.

According to the report, the total value of listed sukuk and debt instruments in the Saudi capital market reached SR 663.5 billion by the end of 2024, compared to SR 549.8 billion at the end of 2023, reflecting a growth rate of 20.6 percent over the year.

The year 2024 also witnessed growth in public offerings and equity registrations, with the CMA approving 60 applications, an increase of 36.4 percent compared to 2023, including 40 applications in the parallel market and 16 in the main market. A total of 44 listings were completed in both markets during the year, marking continued strong activity in IPOs.

In terms of foreign investment, the Saudi capital market continued to achieve record levels, with net foreign investments reaching SR218 billion by the end of 2024, compared to SR198 billion the previous year, an increase of 10.1 percent. The value of foreign ownership also rose to SR423 billion, representing 11 percent of the total free float shares in the main market.

In relation to the licensing and supervision of capital market institutions, the number of licensed institutions rose to 186 by the end of 2024. Revenues of capital market institutions increased by 29.6 percent compared to the previous year, reaching SR17 billion, while their profits grew by 39.3 percent to reach SR 8.8 billion.

The report also highlighted Saudi Arabia's leading position among G20 countries in several international financial market indicators, according to the 2024 World Competitiveness Yearbook issued by the International Institute for Management Development (IMD). The Kingdom ranked first in the Capital Market Index, Stock Market Capitalization Index, Shareholders' Rights Index, and Venture Capital Index. Overall, Saudi Arabia saw improvements in 8 out of the 12 capital market related indicators included in the report.

The report also confirmed the CMA's continued efforts to enhance investor protection tools. In 2024, the CMA completed the handling of 121 cases, while compensation awarded to affected investors exceeded SR 389 million, distributed among 921 beneficiaries. The average litigation period decreased to 4.4 months compared to 5.5 months in 2023. Additionally, the CMA issued enforceable decisions against 171 violators of the laws and regulations under its jurisdiction, and followed up on 45 enforcement requests.