Saudi Arabia Capital Market Authority approves amendments streamlining investment account processes and expanding direct main-market access for GCC resident foreign individuals

The Saudi Arabia Capital Market Authority (CMA) Board approved amendments to the Investment Accounts Instructions, the Rules for Foreign Investment in Securities, and the Capital Market Institutions Regulations to facilitate the opening and operation of investment accounts for various investor categories, with effect from publication. Key changes include updated requirements for individual foreign investors residing in a Gulf Cooperation Council (GCC) country and an expansion of the securities they can directly invest in to include shares listed on the Main Market. Previously, these investors’ participation was limited to the debt market, the parallel market (Nomu), investment funds and the derivatives market, while Main Market exposure was limited to swap agreements as ultimate beneficiaries through capital market institutions. The amendments also allow individual foreign investors who previously resided in Saudi Arabia or a GCC country to keep operating their investment accounts and invest in Main Market shares after their residency ends, provided the account was opened in the Kingdom. Additional amendments are intended to streamline account opening and operation processes for various categories of capital market institution clients. The CMA noted the amendments follow a public consultation launched on 20 November 2024 for 30 calendar days via the National Competitiveness Center’s public consultation platform and the CMA’s website.