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The Capital Market Authority approved amendments to the Rules for Foreign Investment in Securities that remove the Qualified Foreign Investor regime and the regulatory framework for swap agreements. Under the new rules, non-resident foreign investors will hold direct legal title to shares listed on the Main Market rather than gaining indirect economic exposure. The authority’s announcement on its website stated that the capital market across all segments will now be accessible to investors from around the world, a step expected to expand the investor base and support greater inflows. According to the CMA, the changes will enhance overall market liquidity as part of its long-term strategy.
Capital Market Authority figures show that international investors’ ownership in the Saudi capital market exceeded SR590 billion by the end of the third quarter of 2025. Investments specifically in the Main Market reached approximately SR519 billion during that period, an increase from SR498 billion at the end of 2024. The regulator indicated that the approved amendments are projected to attract additional international investments in future quarters.
The decision builds directly on an interim phase introduced in July 2025, when the CMA simplified account-opening procedures for certain natural person investors residing in GCC countries or with previous residency ties to the Kingdom or GCC states. A Norton Rose Fulbright review of the reforms described the new unified regime as replacing both the strict QFI eligibility assessment, which had required minimum assets under management, and the prior swap-based system. The Securities Depository Center Company has made corresponding updates to its procedures to align with the elimination of the old investor categories.
The Capital Market Authority has framed the amendments as consistent with its objective to position the Saudi capital market as an international venue capable of drawing larger volumes of foreign capital. The regulator noted that the move continues previous phases of liberalisation while setting the stage for further complementary reforms. These efforts tie into the Kingdom’s broader economic diversification initiatives under Vision 2030.
A study published in the journal Sustainability highlighted Saudi Arabia’s aim under Vision 2030 to lift the foreign direct investment share of GDP from 3.8 percent to 5.7 percent by 2030.[[1]](https://www.mdpi.com/2071-1050/17/19/8845) General Authority for Statistics data placed net FDI inflows at $6.1 billion in the second quarter of 2025, a 14.5 percent rise year on year.[[2]](https://gulfif.org/a-new-phase-in-vision-2030-from-strategic-exemptions-to-broad-ownership/) The CMA has described the latest regulatory easing as a key element in sustaining that trajectory and reinforcing market appeal to global participants.
Implementation of the framework took effect on February 1, 2026, after the CMA Board gave its final approval. Baker McKenzie analysis of the parallel updates confirmed that the changes create a single regime for all non-resident foreign investors while maintaining necessary compliance standards. The authority continues to monitor market response as the new access rules apply across listed securities.
