COP16: A turning point for global land restoration and drought resilience  

This event aligns with the 30th anniversary of the UNCCD and marks the first time its COP will convene in the Middle East and North Africa — a region acutely affected by the devastating impacts of desertification and drought. 
This event aligns with the 30th anniversary of the UNCCD and marks the first time its COP will convene in the Middle East and North Africa — a region acutely affected by the devastating impacts of desertification and drought. 
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Updated 02 December 2024

COP16: A turning point for global land restoration and drought resilience  

COP16: A turning point for global land restoration and drought resilience  

RIYADH: The 16th session of the Conference of the Parties to the UN Convention to Combat Desertification is set to be a pivotal moment in the global fight against desertification and land degradation. 

Scheduled for Dec. 2-13, 2024, in Riyadh, COP16 carries the theme “Our Land. Our Future.”  

This event aligns with the 30th anniversary of the UNCCD and marks the first time its COP will convene in the Middle East and North Africa — a region acutely affected by the devastating impacts of desertification and drought. 

Why COP16 matters 

As one of the three Rio Conventions, alongside climate change and biodiversity, UNCCD plays a critical role in global environmental governance. COP16 aims to catalyze unprecedented ambition and investment to restore degraded lands and enhance drought resilience. 

The conference will focus on several key objectives:  

Scaling up land restoration: Accelerating efforts to restore 1.5 billion hectares of degraded land by 2030. 

Strengthening drought resilience: Enhancing global and national policy frameworks to better withstand and manage droughts. 

Promoting people-centered solutions: Ensuring the participation of local communities, women, and youth in land management and restoration efforts.  

“The COP16 plans to combat land degradation present exciting opportunities,” said Vijay Valecha, chief investment officer of Century Financial, in an interview with Arab News. 

“Land restoration will promote job growth, encourage sustainable development, and support local economies. According to the UNCCD, every dollar invested in restoring degraded lands yields between $7 and $30 in economic returns,” he added.  

Valecha underscored the importance of collaboration in achieving these ambitious goals, stating: “The target to reforest 1.5 billion hectares will require close collaboration among experts, universities, NGOs, government organizations, and the private sector. This collaboration will strengthen knowledge transfer to local communities and grassroots organizations, making development more sustainable in the long term.”  

HIGHLIGHTS

As the hosts, is also introducing the first-ever Green Zone at a UNCCD COP, aimed at mobilizing the scientific community, businesses, financial institutions, NGOs, and the public to deliver lasting change.

COP16 in Riyadh will host the first dual-track dialogue at a UNCCD COP, combining a negotiation track with an action agenda to address pressing environmental issues.  

The high-level segment of COP16, scheduled for Dec. 2-3, will feature ministerial dialogues on drought resilience, finance, and the impact of land degradation and drought on forced migration, security, and prosperity.  

’s hosting of COP16 highlights the region’s critical role in addressing desertification and water scarcity. 

The MENA region is one of the areas most impacted by desertification, with some areas experiencing nearly 100 percent land degradation.

‘Missed calls from the land’  

As COP16 in Riyadh approaches, the presidency announced the launch of the global campaign, “Missed calls from the land.”  

This initiative, supported by a campaign film, highlighted ’s commitment as the UNCCD COP16 Presidency to raise global awareness about the urgent issues of land degradation, drought, and desertification.  

Currently, 40 percent of the world’s land is degraded, affecting 3.2 billion people. The UNCCD’s target aims to restore 1.5 billion hectares of degraded land by 2030.  

Valecha elaborated on how land restoration will have far-reaching impacts: “Restoration also improves water retention in the soil, enhances agricultural output, stimulates the livestock economy, and increases water availability for human consumption.”  

He added: “These efforts will create more green jobs, making economies more resilient in the face of climate challenges.”  

Ministerial dialogues  

COP16 in Riyadh will host the first dual-track dialogue at a UNCCD COP, combining a negotiation track with an action agenda to address pressing environmental issues.  

The high-level segment of COP16, scheduled for Dec. 2-3, will feature ministerial dialogues on drought resilience, finance, and the impact of land degradation and drought on forced migration, security, and prosperity.  

“COP16 in Riyadh is a critical moment for the international community to address land degradation, drought and desertification,” said Osama Faqeeha, deputy minister for environment and adviser to the UNCCD COP16 Presidency.  

In a press release, he added: “From food and water insecurity to climate change, conflict, instability, and forced migration, how we treat our land has a profound impact on lives and livelihoods around the world.” 

“In short, we need international solutions. Earlier this year, we achieved a significant milestone with the adoption of a historic resolution by the UN Environmental Assembly to halt land degradation,” Faqeeha added, speaking to Arab News.

As the hosts, is also introducing the first-ever Green Zone at a UNCCD COP, aimed at mobilizing the scientific community, businesses, financial institutions, NGOs, and the public to deliver lasting change.

Faqeeha highlighted ’s initiatives: “We are determined to lead by example in land restoration and drought resilience, ultimately, showcasing how successful initiatives can create a thriving circular economy.”

He added: “Through the Saudi Green Initiative, we have already planted more than 100 million trees and rehabilitated more than 100,000 hectares of degraded land. This is part of our commitment to restore 40 million hectares through tree planting and other nature-based solutions.”

Faqeeha noted that “the Middle East Green Initiative further demonstrates our regional leadership in restoring 200 million hectares of degraded land across the region.”

“At the same time, we are engaging policymakers from around the world in a range of high-profile discussions to deliver decisive multilateral action. This dual-pronged approach is vital to accelerating the land restoration and drought resilience initiatives our planet and its people so desperately need,” said Faqeeha.

FAO’s central role  

The Food and Agriculture Organization will play a key role at COP16, reflecting its commitment to sustainable land management and food security. Abdul Hakim Elwaer, FAO’s assistant director-general, emphasized in remarks to Asharq Al-Awsat the organization’s active participation, including leading discussions on transforming food systems and coordinating thematic days like Food Day and Governance Day.  

Valecha tied land restoration directly to food security, emphasizing: “Land restoration is crucial for ensuring we have enough food for the future. Sustainable methods like agroecology and regenerative agriculture can improve soil health, reduce carbon emissions, and boost productivity, creating robust food supply chains that adapt to climate change.”  

Strengthening drought resilience  

Building resilience to drought will be a key focus of COP16, emphasizing the role of policies and technologies, with Valecha advocating for proactive measures. 

“To improve drought resilience, a comprehensive framework is needed. This includes identifying vulnerable areas, implementing early warning systems, and enacting policies to prevent water overuse,” he said.  

“Measures such as promoting drought-resistant crops and establishing drought management funds will provide essential protection for affected communities,” Valecha added. 

The integration of local and indigenous knowledge into these efforts is equally vital.   

Valecha said: “Indigenous communities, as key stakeholders in land restoration, possess deep understanding of their ecosystems. Their involvement can significantly reduce deforestation rates, as seen in countries like Nepal and regions in the Americas.”  

A regional and global impact  

’s hosting of COP16 highlights the region’s critical role in addressing desertification and water scarcity. 

The MENA region is one of the areas most impacted by desertification, with some areas experiencing nearly 100 percent land degradation. COP16 will provide an opportunity for regional countries to showcase their resilience strategies and contribute to shaping global policies.  

“The Gulf and MENA region, owing to its demographics, have been at the center of environmental challenges,” said Valecha. “However, initiatives such as drought and disease-resistant crop varieties by GCC nations demonstrate the region’s commitment to combating these challenges.”  

Moreover, COP16 will offer a platform to showcase innovative solutions, from advanced land management practices to cutting-edge technologies in water conservation.  

Youth and community engagement  

For the first time, COP16 will see host a Green Zone alongside the formal Blue Zone program. This inclusive public space will promote environmental awareness through family-friendly and cultural activities. 

The emphasis on inclusivity is central to COP16, with forums and training sessions for youth, women, and indigenous communities. The Green Zone will host discussions on sustainable land stewardship while featuring workshops, exhibitions, and interactive art installations.  

Valecha highlighted the potential of youth engagement at COP16: “Selected youth negotiators will participate in the Youth Negotiators Academy, equipping them with skills to advocate for actionable policies. These efforts promote intergenerational dialogue and foster solutions for sustainable livelihoods.”  

“Globally, women account for nearly 50 percent of agricultural labor in small-scale farming. Gender-inclusive policies across the value chain are critical to the success of restoration initiatives,” said Valecha. 

Innovative solutions and partnerships  

COP16 is expected to unveil groundbreaking initiatives, with Valecha anticipating significant developments. He added: “The conference could lead to the establishment of financing mechanisms and restoration funds. Cross-border partnerships can help maintain the Land Degradation Neutrality target and prevent further degradation of land resources.” 

Valecha emphasized the critical role of the private sector in achieving COP16’s goals, highlighting the potential contributions of international financial institutions and private companies. He pointed to favorable loans, green bonds, and funding for sustainable practices such as no-till farming and rotational grazing as key areas of support.  

He also stressed that public-private partnerships are vital for scaling up land restoration efforts. 

A call to action  

As COP16 commences, the world stands at a crossroads. This conference is not just a meeting but a call to action — a chance to turn ambition into tangible solutions for land, livelihoods, and the planet’s future. 


sDB Group partners with Turkiye to drive green industrial growth

sDB Group partners with Turkiye to drive green industrial growth
Updated 14 sec ago

sDB Group partners with Turkiye to drive green industrial growth

sDB Group partners with Turkiye to drive green industrial growth

JEDDAH: The Islamic Development Bank Group has partnered with Turkiye’s Ministry of Industry and Technology to advance sustainable manufacturing and infrastructure as part of a broader push to modernize the country’s industrial zones and accelerate its green transition.

The initiative supports Turkiye’s 2053 net-zero emissions target and aligns with the 12th National Development Plan (2024–28) and the 2030 Industry and Technology Strategy.

According to the Saudi Press Agency, the project aims to cluster industrial enterprises within designated zones, reducing environmental impact and promoting climate-conscious development.

While Turkiye has committed to peak emissions by 2038 and reach net zero by 2053, independent assessments question the feasibility of this goal.

Climate Action Tracker has rated the strategy as “poor,” citing a lack of ambition and transparency, and warning that the 15-year window to net zero is overly compressed.

Still, some subsectors—such as cement, iron and steel, aluminum, and fertilizers—have set clearer reduction targets, although they remain exceptions, CAT notes.

Walid Abdelwahab, director of the IsDB Group’s regional hub in Turkiye, described the project as “a vital step in fulfilling the IsDB’s commitment to supporting sustainable industrial transformation, enhancing economic resilience, and promoting climate-conscious development.”

A multidisciplinary team from IsDB’s Jeddah headquarters and Ankara office has been working closely with various government bodies and industrial zone authorities. Discussions have focused on collecting data, identifying challenges, and shaping the project in line with national investment and climate resilience goals.

According to SPA, the initiative will also address key areas such as wastewater management, improved water use efficiency, and green infrastructure, laying the groundwork for long-term sustainable industrial growth.


Energy security key to inclusive growth, says Saudi finance minister

Energy security key to inclusive growth, says Saudi finance minister
Updated 35 min 10 sec ago

Energy security key to inclusive growth, says Saudi finance minister

Energy security key to inclusive growth, says Saudi finance minister

RIYADH: Energy security is not a luxury but “a fundamental pillar for achieving development and inclusive growth,” said ’s Finance Minister Mohammed Al-Jadaan.  

Delivering the opening remarks at the OPEC Fund for International Development Forum 2025 in Vienna, Al-Jadaan warned that the absence of reliable energy access undermines critical sectors, including healthcare, education, productivity, and food and water systems. 

“With rising geopolitical tensions, market volatility, and surging global energy demand, it has never been more urgent to achieve a more secure and diversified energy landscape,” Al-Jadaan said. 

He added: “This requires a strategic push to diversify energy sources, scale up investment in clean technologies, and adopt innovative financing solutions to accelerate energy access and strengthen long-term energy security.” 

Four-point reform plan 

Al-Jadaan outlined four policy recommendations for multilateral development banks aimed at boosting global energy resilience. He stressed the need to support all energy sources without bias and cautioned against emissions policies that exclude major energy contributors. 

He said such policies risk destabilizing markets and disproportionately impact developing economies and vulnerable populations. 

His second recommendation focused on expanding concessional financing to underserved regions. The minister praised the World Bank’s “Mission 300” initiative, which aims to provide energy access to 300 million people in Africa, and acknowledged the contributions of the Islamic Development Bank and the OPEC Fund. 

Al-Jadaan also commended ’s Forward7 Clean Fuel Solutions for Food initiative under the Middle East Green Initiative, which promotes clean fuel deployment globally. The program has partnered with institutions including the OPEC Fund, the World Bank, the Islamic Development Bank, and the International Islamic Trade Finance Corp. 

De-risking and innovation

Al-Jadaan’s third point emphasized the need to de-risk investments in the energy sector to encourage private sector involvement.  

He cited mechanisms such as partial risk guarantees, political risk insurance, and blended finance structures as essential tools to mitigate risks and enhance the feasibility of energy projects, particularly in low-income and high-risk countries. 

“These tools help mitigate expected risks and enhance the bankability of energy projects, especially in low-income and high-risk countries,” the minister said. 

In his final point, Al-Jadaan called for stronger investment in technologies such as carbon capture and sustainable hydrocarbon applications to reduce emissions and maintain supply during the transition to net-zero. 

He underscored the far-reaching consequences of energy poverty, including economic instability, forced migration, and increased humanitarian pressures. 

Al-Jadaan reaffirmed the Kingdom’s aim to generate 50 percent of electricity from renewables by 2030 and achieve net-zero emissions by 2060. These goals are being pursued under the Circular Carbon Economy framework. 

“In the Kingdom of , we are working with everyone to enhance energy security and eliminate energy poverty, while continuing efforts to combat climate change,” he said. 

Development crisis warning 

OPEC Fund President Abdulhamid Al-Khalifa also addressed the forum, warning of a worsening global development gap.  

He said the world is facing what the UN secretary-general has described as a “development emergency,” pointing out that only 18 percent of Sustainable Development Goals have made measurable progress since their inception in 2015. 

“Developing countries face a $4 trillion annual funding gap, worsened by rising debt servicing costs that are draining resources from essential services,” Al-Khalifa said. 

To address this, he said the OPEC Fund is ramping up efforts and leveraging momentum from previous forums. Among its recent actions, the fund has joined the “Mission 300” initiative to expand energy access. 

It has also deployed $1 billion as part of its food security action plan, committed an additional $2 billion to support food supply chains in partner countries, and allocated $1 billion to combat desertification under the Arab Coordination Group's $10 billion Riyadh Global Drought Resilience Partnership. 

New trade facility 

Al-Khalifa also announced the launch of the OPEC Fund Trade Facility Initiative, a program designed to mobilize billions of dollars in support through 2030. 

The facility aims to help countries secure strategic imports, address trade-related liquidity gaps, and strengthen resilience against external economic shocks. 

“This is a direct response to an urgent need, and a reflection of our commitments to stand by our partners when it matters most,” he said. 

Al-Khalifa emphasized the growing strain on trade as a development cornerstone, citing disrupted supply chains, rising costs, and foreign exchange volatility that are affecting the most vulnerable communities.  

Project milestones 

In 2024, the OPEC Fund committed $2.3 billion to 70 projects across the globe — a 35 percent increase compared to the previous year. 

These projects connected 300,000 households to electricity, built over 500 km of roads, and supported 75,000 farmers and 35,000 women. 

As the Arab Coordination Group marks its 50th anniversary this year, Al-Khalifa noted the significance of this milestone, saying the OPEC Fund is honored to stand alongside other member institutions in celebrating five decades of collaborative development efforts. 

“We know from experience, when partners align their resources, expertise, and approaches, the results are transformative,” he said. 

Both Al-Jadaan and Al-Khalifa stressed that global cooperation and innovation are critical to overcoming current challenges and advancing toward a future of inclusive and sustainable development. 


, Panama sign air transport agreement to strengthen global connectivity

, Panama sign air transport agreement to strengthen global connectivity
Updated 33 min 49 sec ago

, Panama sign air transport agreement to strengthen global connectivity

, Panama sign air transport agreement to strengthen global connectivity
  • Deal signed during 55th edition of Paris Air Show
  • It reflects Kingdom’s broader efforts to expand its global aviation footprint

RIYADH: and Panama have signed a bilateral air services agreement to enhance air connectivity between the two countries and expand access to global aviation markets.

The deal was signed during the 55th edition of the Paris Air Show by Abdulaziz Al-Duailej, president of the General Authority of Civil Aviation, and establishes a regulatory framework for safe, efficient, and fair air services, according to the Saudi Press Agency.

The deal reflects the Kingdom’s broader efforts to expand its global aviation footprint in line with Vision 2030. As part of its National Aviation Strategy, the country is building international partnerships, strengthening regulatory frameworks, and increasing air connectivity to link to 250 global destinations and transport 330 million passengers annually by 2030.

The new agreement complements the 1944 Chicago Convention on International Civil Aviation, the legal foundation for global air travel. It includes provisions on traffic rights, airline designation, and licensing, as well as the enforcement of international safety and security standards.

It is also designed to promote fair competition and support the long-term commercial interests of national carriers in both countries.

The deal aims to serve the common economic interests of national carriers and enhance their participation in the air transport market by applying modern market-entry models and supporting all forms of air traffic, SPA reported.

“The organization’s participation aims to highlight the role of the civil aviation sector in the Kingdom as an important driver of the national economy, the promising investment opportunities it offers, and to learn more about the latest innovative global technologies in the sector,” the report added.

, represented by GACA, concluded its participation at the Paris Air Show with a wider range of strategic announcements aimed at bolstering its aviation sector. Key outcomes included a memorandum of understanding with Airbus on environmental sustainability and aviation safety, a leasing deal for 77 new aircraft by Avilease, and Riyadh Air’s order for 50 Airbus A350-1000 jets, increasing its future fleet to 182 aircraft in line with Vision 2030’s goal of positioning Riyadh as a global air hub.

The Saudi delegation was led by Saleh Al-Jasser, minister of transport and logistic services and chairman of GACA, accompanied by GACA president and senior executives from across the Kingdom’s aviation ecosystem. Their participation focused on strengthening partnerships with leading aerospace companies, attracting investment into the Saudi aviation sector, and advancing bilateral cooperation.

During the show, Al-Jasser and the delegation toured various pavilions showcasing innovations in advanced air mobility, aerospace, sustainability, and smart manufacturing.

They observed emerging solutions featuring high levels of automation and digitization across both commercial and military aircraft.

In addition to the MoU with Airbus, the show saw key commercial signings. Avilease, a Public Investment Fund-owned leasing firm, agreed to purchase 77 new-generation aircraft, including A350 freighters and A320 narrow-body jets. Riyadh Air confirmed an order for 50 A350-1000 aircraft, part of its plan to turn Riyadh into a global aviation hub.

A separate agreement was signed between Cluster 2 Airports Co. and Airbus to explore collaboration opportunities in training, development, and investment.

Al-Duailej also met with several global aviation leaders, including Damien Caze, director general of the French Civil Aviation Authority; Arjan Meijer, CEO of Embraer; and Bahrain’s Minister of Transportation and Telecommunications Sheikh Abdulla Al-Khalifa, to discuss regional cooperation.

The Kingdom’s presence at the Paris Air Show underscored its commitment to civil aviation as a driver of economic growth, innovation, and international connectivity. The event is one of the world’s most prominent in the aerospace industry, attracting thousands of participants and showcasing the latest in aviation, defense, and space technologies.


SIC, Investindustrial forge alliance to drive Saudi industrial expansion


SIC, Investindustrial forge alliance to drive Saudi industrial expansion

Updated 47 min 5 sec ago

SIC, Investindustrial forge alliance to drive Saudi industrial expansion


SIC, Investindustrial forge alliance to drive Saudi industrial expansion


RIYADH: SIDF Investment Co., the financial arm of the Saudi Industrial Development Fund, has entered into a strategic partnership with European private equity firm Investindustrial, marking its first international private equity commitment.

The agreement is aimed at catalyzing new industrial investments in the Kingdom by localizing advanced manufacturing and integrating Saudi small and medium-sized enterprises into Investindustrial’s global value chains.

The partnership is a significant milestone for SIC as it broadens its international engagement and supports ’s Vision 2030 objectives. These include attracting institutional capital, localizing industrial expertise, and contributing to the National Industrial Strategy, which targets increasing the number of factories to 36,000 by 2035.

The announcement follows a previous agreement in March between SIC and Ashmore Investment to launch a private closed-end industrial fund. The SR400 million ($106.6 million) initiative — the first of its kind in the Kingdom — is managed by a global asset manager and aims to support a wide array of industrial assets. That move laid the foundation for SIC’s private equity strategy to stimulate domestic investment and expand global partnerships.

“This agreement represents a new chapter for SIC,” said Fahad Al-Naeem, CEO of SIC. “By partnering with Investindustrial, we’re bridging global reach, operational depth, and industry specialization into our ecosystem, positioning as the platform for regional and international manufacturing growth.”

The targeted sectors include machinery and equipment, automation, medical devices, and sustainable consumer products, with an emphasis on local value creation and industrial innovation.

This move comes as the Kingdom ramps up efforts to strengthen its industrial base and draw international investment into strategic sectors. In April, ’s Industrial Production Index rose 3.1 percent year on year, led by gains in manufacturing and mining. Manufacturing activity alone climbed 7.4 percent annually, with a 0.5 percent uptick month on month.

Adding to this momentum, the government launched the Standard Incentives for the Industrial Sector program in May, offering up to 35 percent financing on initial capital expenditure per project, capped at SR50 million. The initiative supports facility development and operations over a seven-year term.

“SIC will utilize its local market expertise to pave the way for global manufacturers to establish a footprint in and connect with international supply chains, benefiting from the Kingdom’s competitive position,” Al-Naeem added.

Investindustrial, which has raised €17 billion and operates across eight global offices, focuses on mid-market companies with a mission to drive sustainable value creation and support global expansion.

“The Kingdom of has emerged as a key strategic growth region for Investindustrial’s portfolio companies,” said Andrea Bonomi, chairman of Investindustrial.
“Many of our investments align closely with the goals of ’s Vision 2030, fostering strong and natural synergies for long-term value creation,” Bonomi added.

The signing ceremony was attended by Prince Sultan bin Khaled, vice chairman of SIC, and Italy’s Ambassador to , Carlo Baldocci, reflecting the high-level support backing the agreement.

The deal further advances SIC’s role as a gateway for institutional-grade industrial investment into , reinforcing its mandate to help build a globally competitive and resilient manufacturing sector.


Foreign ownership in Saudi equities tops $105bn despite market pullback

Foreign ownership in Saudi equities tops $105bn despite market pullback
Updated 17 June 2025

Foreign ownership in Saudi equities tops $105bn despite market pullback

Foreign ownership in Saudi equities tops $105bn despite market pullback

RIYADH: Foreign investors held SR394.58 billion ($105.2 billion) in Saudi equities as of June 12, marking an annual decline of 1.1 percent, although their market share rose amid a broader downturn. 

According to the latest data from Saudi Exchange, the dip in foreign ownership comes as the total value of holdings in the main market fell to SR9.14 trillion, down from SR9.95 trillion in June 2024, as valuations across key sectors — including financials, materials, and energy — softened. 

The increase in foreign investors’ market share — from 4.01 percent to 4.32 percent — is attributed to the overall decline in market size. 

Saudi nationals remain dominant in the market, holding SR8.68 trillion, or 94.94 percent of total ownership, down from SR9.48 trillion, or 95.28 percent, a year earlier.

Investments from Gulf Cooperation Council countries also dipped, with holdings falling from SR70.17 billion to SR67.46 billion, despite their share slightly increasing to 0.74 percent. 

The drop in market capitalization coincided with a 1.5 percent decline in the Tadawul All Share Index on June 12, driven by losses in heavyweight stocks such as Al Rajhi Bank and n Mining Co. The selloff came amid renewed geopolitical tensions in the region. 

“While solid fundamentals offer a hopeful outlook, the market’s reaction was more heavily influenced by geopolitical tensions,” said Milad Azar, a market analyst at XTB MENA, in comments to Reuters. 

His statement followed the US decision to reposition diplomatic staff in the region, stoking concerns over escalating tensions with Iran. The move added pressure to already cautious markets, where investors have been rebalancing portfolios in response to rising interest rates and shifting risk appetite. 

Despite recent volatility, the long-term outlook for foreign participation remains strong. ’s inclusion in global emerging market indices — such as MSCI, FTSE Russell, and S&P Dow Jones — continues to support passive fund flows. 

Reforms under Vision 2030, including enhanced transparency, stronger corporate governance, and an expanding privatization pipeline, are widely viewed as central to boosting long-term investor engagement in ’s capital markets.

The government’s commitment to diversifying the economy has opened new sectors for investment, while regulatory upgrades have helped align local practices with international standards. 

As part of these reforms, Tadawul has undergone a transformation in recent years to enhance its global appeal. The market’s inclusion in major emerging market indices between 2018 and 2019 helped unlock billions in passive fund inflows. Since then, Tadawul has focused on improving disclosure quality, streamlining Qualified Foreign Investor registration, and modernizing its trading and post-trade systems. 

This evolution continues to attract international capital through a growing pipeline of sector-diverse initial public offerings. Recent listings in health care, technology, and consumer goods have provided foreign investors with broader exposure to non-oil growth areas, further supporting portfolio diversification. 

Meanwhile, ongoing efforts to enhance post-trade infrastructure and environmental, social, and governance reporting are expected to improve overall market competitiveness and strengthen the exchange’s appeal to long-term institutional investors.