Attracting sukuk and bond investors


The Securities Depository Center Company (Edaa) announced the activation of the linkage with Euroclear, the international securities depository center in Brussels, to facilitate international investors’ access to the local sukuk and bond market. The Saudi Stock Exchange Company, Tadawul Saudi, said in a statement: This connectivity provides a new channel of access for international investors to the local sukuk and bond market in the Saudi Tadawul, the largest stock market in the GCC region and one of the three largest emerging financial markets by market capitalization exceeding $3.3 trillion.

She added that qualified international investors in Euroclear will now be able to settle locally issued bonds through the candidate’s account in “Edaa” using their existing accounts in Euroclear, and benefit from a range of services including internal settlement, trading and custody of Saudi government and semi-government bonds. listed on Tadawul without the need to submit an application for registration as a qualified foreign investor.

Raed Al-Hamid, CEO of the Securities Depository Center Company (Edaa), said: The Securities Depository Center Company in the Saudi Stock Exchange is committed to providing services to both local and international investors in accordance with international best practices.

He explained that the link with Euroclear allows international investors to be better served, reduce market fluctuations, increase liquidity, and contribute to increasing the attractiveness of the Saudi financial market to all investors in line with the Kingdom’s vision 2030. International investors on listed Saudi sukuk and bonds, as the value of market issuances exceeded 460 billion riyals with the increase in global demand for government issuances.

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