Interview: Mohammed Al Rumaih, CEO, Saudi Exchange, on expanding investor participation and strengthening market foundations
How do you envision the capital markets’ long-term position globally and what distinguishes them from other regional financial markets?
MOHAMMED AL RUMAIH: The long-term trajectory points to a deeper integration with global markets and sustained growth in economic influence. What sets Saudi Arabia apart is the depth and diversity of its listed companies across multiple industries, underpinned by a clear strategic vision that positions capital markets as a key driver for economic diversification beyond hydrocarbons. Another defining factor is openness to global investment. Strong infrastructure, regulatory clarity and alignment with international standards continue to attract a growing base of foreign institutional investors. Foreign ownership has expanded significantly in recent years, signalling rising global confidence and robust demand for exposure to the Saudi economy.
What initiatives are being pursued to attract diverse listings while maintaining strong standards?
AL RUMAIH: The tiered listing framework plays a central role – one venue is tailored to mature companies, while a more flexible platform supports high-growth firms, small and medium-sized enterprises, and family-owned businesses. This allows companies at different stages to access capital while upholding appropriate listing standards. Digital platforms now streamline initial public offering subscriptions and administrative processes while dedicated programmes support family businesses with guidance on governance, transparency and planning. The listing pipeline continues to expand, particularly in innovation- and technology-driven sectors. Global connectivity is strengthening. A recently introduced framework enables foreign companies to issue depository receipts backed by international shares for local trading. Cross-listing arrangements with international exchanges provide investors with access to Saudi assets, while enabling foreign issuers to enter the Saudi market efficiently.
In what ways are capital markets leveraging emerging technologies to enhance trading infrastructure?
AL RUMAIH: Significant investment is being made in post-trade infrastructure to support shorter settlement cycles, enhance clearing functions and strengthen collateral management, driving greater efficiency and alignment with global standards. Emerging technologies, including distributed ledger and digital asset solutions, are being explored to improve transparency and streamline operations. This includes assessing blockchain-based models that could accelerate settlement and reduce reconciliation requirements, lowering operational risk. Cybersecurity is a top priority, with continuous improvements to ensure resilience and market integrity. A data-driven approach underpins these advancements. New analytics platforms provide deeper visibility into market activity, supporting stronger decision-making by both investors and regulators.
Which measures are being taken to broaden retail investor participation, particularly among groups such as young people and women?
AL RUMAIH: Saudi Arabia has one of the highest levels of retail participation globally, and this base continues to expand, particularly among young people and women. Education plays a central role. Stakeholders are collaborating with schools and universities to promote financial literacy early and training programmes, digital campaigns and simulation tools are giving new investors practical experience before deploying capital. Product accessibility has improved as well. Exchange traded funds and real estate investment trusts offer diversified exposure at lower entry points and mobile trading platforms have made market access seamless – an approach that particularly resonates with younger investors who are highly attuned to digital engagement. At the same time, increased participation from pension funds and other long-term capital providers continues to support market stability, liquidity and future growth.
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