Saudi Arabia has approved the Gulf Arab state's first exchange-traded fund, which will be accessible to foreigners as part of efforts to open up the biggest Arab bourse.
Saudi financial company Falcom Financial Services won approval to list the "Falcom Saudi Equity ETF" on the bourse, the capital market authority said yesterday.
The world's top oil exporter has been trying to encourage more foreign money to its bourse, having recently allowed indirect foreign ownership via so-called swap agreements. Analysts said the move might coax big international investors to enter on a larger scale.
CMA head Abdulrahman Al Tuwaijri has said that Saudi Arabia wanted to further open up the bourse by launching ETFs this month.