Saudi

Saudi Arabia Releases Draft Rules for Foreign Stock Investors

DUBAI—Saudi Arabia’s regulator on Thursday issued a set of draft rules for foreigners ahead of the long-awaited opening of its $580 billion stock market to international investors next year. The Capital Markets Authority said a qualified foreign investor must be a bank, brokerage, fund manager or insurance company with at least $5 billion in assets under management, a requirement aimed at attracting more stable and experienced institutional […]

August 24

Draft Saudi rules to set limit on foreign share ownership

Saudi Arabia set out draft proposals on foreign-shareholder limits as one of the world’s most restricted stock markets prepares to open its doors for the first time to investors outside the region. The Capital Market Authority may cap foreign ownership of a single stock to 49 percent, it said in plans posted on the Riyadh-based regulator’s website today. It may also set a 5 percent limit for […]

August 23

Ymdi: New App Helps Navigate Saudi Life

Here’s one of the usual everyday life frustrations if you live in Saudi Arabia: You want to eat cereal. You open the fridge and realize you’re out of milk. You get dressed, get in your car and drive to the supermarket. Then the moment your reach the supermarket, they close for prayer. The kingdom is the only Muslim country in the world where all businesses must be […]

August 21

Saudi Savola’s Interest in Americana Could Prove Expensive

Kuwait’s Americana owns the franchise for popular fast-food chains such as TGI Friday’s, KFC (pictured above) and Pizza Hut in the Middle East and North Africa region. Bloomberg Kuwait’s Americana is in demand. Several investors, both regional and international, are apparently interested in acquiring a stake in the company that owns the franchise for popular fast-food chains such as TGI Friday’s Inc, KFC and Pizza Hut in […]

August 19

Struggling foreign banks surrender Saudi licence

Local lenders in Saudi Arabia are dominating the market, prompting overseas banks to surrender their licenses as they struggle to compete, the chief executive officer of Standard Chartered (STAN) Plc in the country said. “International banks have found this market more challenging to find their edge and differentiate themselves enough to build a viable business,” Boutros Klink, chief executive officer of Standard Chartered Capital Saudi Arabia, said […]

August 19

Clash of investment cultures in Saudi market opening

Seventy-year-old Saudi Arabian stock speculator Mohamed al-Otaibi says he lost hundreds of thousands of dollars in the crash of 2006, but he’s back trading again as the Arab world’s biggest bourse prepares to open to direct foreign investment. The activities of Otaibi and many thousands like him mean there will be a clash of investment cultures when international institutions enter the $580 billion Saudi market early next […]

August 17

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Saudi Savola launches Americana bid

Major Saudi food producer Savola Group said on Wednesday it had begun preliminary talks on a potential acquisition of Kuwait Food Co (Americana) , one of the Middle East’s largest food companies. Savola has attended an investor roadshow held by Americana’s management, but talks have not yet reached a stage that would require disclosure, the company said in a bourse filing. Reuters reported in April that the […]

August 14

MBC Plots Sports Comeback With Saudi Football Coverage

As players stepped on the pitch of King Fahad International Stadium in Riyadh to kick off the new Saudi football season, the sound of money came louder than the cheers of sports fans. A few minutes before the game started on Thursday, Middle East Broadcasting Center Group inked a deal with the Saudi Arabian Football Federation worth 3.6 billion riyals ($960 million) over 10 years to buy […]

August 10

Ebola Virus: Saudi Issues Travel Warning

Saudi Arabia has advised the kingdom’s citizens and residents to avoid all travel to Liberia, Sierra Leone and Guinea until further notice due to the Ebola outbreak. The warning issued late Wednesday by the Ministry of Health comes after a Saudi man, who recently visited Sierra Leone and was suspected of having the virus, died earlier in the day when his heart stopped and attempts to resuscitate him […]

August 07

Cost of Saudi Labor Reform: $4 Billion A Year

When Saudi Arabia started to seriously tackle its labor market problems a few years ago, it had to take decisions that made it quite unpopular with both businesses and the general public. The government argued that some tough measures must be taken even if they are painful. After decades of depending on low-paid foreign workers, it was clear that fixing the labor market would be difficult and […]

August 05

Spurt in foreign buying of Saudi stocks

The value of shares bought by foreign investors through swap arrangements on the Saudi stock exchange jumped in July, official statistics showed on Sunday. Authorities in the kingdom granted long-awaited approval on July 21 to open up the bourse to direct foreign investment for the first time in early 2015. Foreigners currently can only purchase shares through swap arrangements, contracts in which a local broker or investor […]

August 04

Saudis occupy 35% of all Dubai hotels

Dubai is once again proving to be the choicest destination for Saudis this summer, with hotels in the city showing 35 percent occupancy by them during the Eid Al-Fitr holidays, Al-Riyadh daily reported. The more than one-third occupancy of rooms by Saudis during the holidays complements the statistics revealed by Dubai tourism authorities that more than 2 million Saudis visited the city during the past six months, […]

August 02

Funds bullish on Saudi, bearish on UAE

Middle East funds are heavily bullish towards Saudi Arabian stocks after news the market will open to direct foreign investment, while they are bearish on the United Arab Emirates because of concern about high valuations. The latest Reuters survey of 15 leading investment managers,conducted over the past 10 days, showed two-thirds expected to raise their equity allocations to Saudi Arabia in the next three months, up from […]

August 01

Politics

UAE and Qatar compete as Saudi Arabia looks on

The Gulf states have become the most stable and influential force in the Arab world, with the decline of the Egyptian role, the spread of turmoil and chaos in Syria and Iraq and Algeria’s retreat on itself after the “black decade” of the 1990s. Because of political stability and increasing oil revenues, the Gulf states have accumulated financial wealth that has strengthened their political, economic and media influence in […]

July 29

Saudi market opening to have huge impact on region’s profile

|By TAP Staff| The Saudi decision to open up the stock market to foreigners could eventually lead to the Middle East North Africa region becoming as large as 5.2 percent of MSCI emerging markets benchmark. The significance of the Saudi entry to the region’s profile is brought out by the fact that even after UAE and Qatar’s upgrade to emerging market status over a month ago, the […]

July 28

Western banks set to gain big time from Saudi market opening

HSBC Holdings Plc (HSBA) and JPMorgan Chase & Co. (JPM) are among the banks set to profit after the Riyadh-based Capital Market Authority announced plans this week to open Saudi Arabia’s bourse to foreign investors. The CMA said on July 22 that it would open up the oil-producing kingdom’s $531 billion stock market to foreigners next year. That may attract inflows of about $35 billion to the […]

July 24

Q&A: Earliest MSCI Can Add Saudi to Emerging Markets is Mid-2017

A broker monitors stock prices on a screen at the Saudi Investment Bank in Riyadh. 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. Reuters With a market capitalisation of more than half a trillion dollars, Saudi Arabia’s plan to allow foreigners direct access to its listed companies early next […]

July 23

Saudi Savola CEO quits

Saudi Arabian food company Savola Group said on Tuesday its chief executive officer, Abdulraouf Mannaa, is to step down for personal reasons. Mannaa would be replaced by Abdullah Mohammed Noor Rehaimi, currently a board member at Savola, who will take up the role on January 1, 2015. Savola, a producer of cooking oil, sugar and other foodstuffs, added that Mannaa – who took up the CEO role […]

July 22

Saudis to open stock market to foreigners next year

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 on Tuesday. The opening of the Saudi market, capitalized at about $530 billion, is one of the most keenly awaited economic reforms in the largest oil exporting nation. The bourse would be one of the world’s last […]

July 22

As Iran Gains Influence, Saudi Arabia Revisits Ties Built on Distrust

BEIRUT, Lebanon — The fevered struggle between Saudi Arabia and Iran for regional dominance has for years aggravated nearly every conflict across the Middle East as the two nations armed, funded and encouraged each other’s adversaries. So it has come as a surprise to many here that even with the region still in tumult, there have been signs that both powers are looking to temper their destructive […]

June 06

Saudi regulator clamps down on telco for disclosure default

Saudi Arabia’s market regulator has suspended trading in Etihad Atheeb after the landline operator failed to disclose sufficient details on a network sharing deal with Saudi Telecom Co (STC), according to a bourse filing on Thursday. Earlier on Thursday, Atheeb said it had signed a so-called Indefeasible Rights of Use (IRU) agreement that gives it access to 30,000 STC data connections for 15 years, with an option […]

June 06

World Briefing: Saudi Arabia: Camels and Livestock Are to Be Tested for Traces of a Virus

The authorities in Saudi Arabia, alarmed over the rising human death toll from the Middle East Respiratory Syndrome coronavirus, said they would start testing the kingdom’s entire population of camels and other livestock next week, Saudi newspapers reported Thursday. The Arab News quoted Fahd Balghuneim, the agriculture minister, as saying the tests to determine the extent of infection would be conducted via blood or mucus samples. Saudi […]

June 06

Saudi Lawyers Face Severe Fines After Critical Tweets

Three Saudi lawyers were sentenced this week to fines of more than 1 million Saudi riyals ($266,666) in total and a complete media ban after they criticized the kingdom’s Ministry of Justice on Twitter. The lawyers were also ordered to issue a formal apology to Justice Minister Mohammed Al Isa. In complaints filed last November with a Ministry of Culture and Information’s legal committee responsible for looking […]

June 04

World Briefing: Saudi Arabia: MERS Toll Revised

Saudi Arabia revised sharply upward the number of cases of the new MERS virus within its borders and said it had been fatal in more than 40 percent of the cases. After a review of medical records, the country’s total number of cases of Middle East Respiratory Syndrome since the virus was isolated in 2012 is now 688, up from 575; the death toll is 282, not […]

June 04

World Briefing: Online Chats Between Sexes Denounced in Saudi Arabia

A senior Saudi Arabian cleric has issued an edict against online chatting between the sexes, equating such activity to the prohibitions on the physical mingling of unrelated men and women, the news agency Al Arabiya reported Thursday. It said the cleric, Sheikh Abdullah al-Mutlaq, a member of the Saudi Committee of Senior Scholars, had warned that such conversations were religiously forbidden and might lead to sin. Al […]

May 30

FlyNas Aims to Create Low-Cost, Long Haul Hub in Saudi Arabia

FlyNas route map from Jeddah. FlyNas website Saudi Arabia’s FlyNas ended the domestic monopoly of the kingdom’s flag carrier Saudia in 2007, and it’s now aiming to break the stranglehold of the long-haul Gulf airlines too. The low-cost operator intends to launch flights from Riyadh to London Gatwick, continuing its plans to build a long-haul operation from the kingdom. The Saudi-based carrier has this year launched flights […]

May 27

Banking & Finance

HSBC to advise $1.49 billion Saudi rights issue

Saudi Arabian Mining Co, or Ma’aden, has appointed HSBC Saudi Arabia as financial advisor for its planned 5.6 billion riyals ($1.49 billion)rights issue, the company said in a statement on Monday. Ma’aden had earlier this month said it was seeking shareholder approval for a capital increase to fund the expansion of its phosphate and gold operations, as well as increase funding for its aluminium business. The company […]

May 26

Ride-Sharing App Uber Launches in Saudi Arabia

Uber San Francisco-based Uber — a smartphone app that connects passengers with cars for hire — officially launches in the Saudi capital Riyadh today after three months of beta testing, entering a new market with some unique opportunities. Saudi Arabia is a country with virtually no public transport and where half of the population — women — is not allowed to drive. Many of the regular cabs available […]

May 22