The Saudi Stock Exchange increases the liquidity of the debt instruments by starting the market maker

The Saudi Stock Market “Trade” has introduced the market maker framework for debt instruments in the financial market to stimulate the liquidity levels of sukuk and bonds, according to a press release issued today, Thursday. According to the statement, the new framework will also increase the ability of the market to attract local and international investors and increase the depth and balance of the financial market. The new framework comes “to meet the growing levels of demand … and to improve the development and depth of the debt instruments market and to consolidate the position of Saudi Arabia’s circulation as a world destination in this area,” according to Mohamed Al -Rumaih, CEO of Saudi Arabia’s trade in the statement. The statement pointed out that those who want to practice the markets industry for securities listed on the market membership with the possibility of practicing the market industry activities in authenticity for their own account or agent on behalf of a customer. The market maker is obliged to ensure the availability of liquidity for one of the debt instruments listed by providing continuous sales and purchasing orders during official trading times in accordance with the regulation of the market industry. Activity in the publications The Kingdom’s markets have seen since the beginning of this year that the issue of bonds and instruments with a total value of over $ 21 billion since the beginning of this year, as Al -Rajhi Bank and the Saudi Fransi bank raised a total of $ 2.25 billion this week. At the end of last year, the Saudi Capital Market Authority facilitated the requirements to offer debt instruments to develop its organizational framework in a way that contributes to attracting different segments of publications and exporters, with the aim of deepening and investing the debt market. The debt market in Saudi Arabia reached about 800 billion rows until November, which represented twice five years ago, and the liquidity distributed in the market annually reached 2.5 billion Riyals annually. The data of the government reports that there are opportunities to activate the role of the SUKUK market and debt instruments, as the share in the financing of Saudi businesses is only 11%, while in the rest of the G20 countries reaches an average of 47%. The size of the mortgage and sukuk market is expected to be doubled during the next four years, according to the President of the Commission, Muhammad Al -qweiz.