IslamicFinance.de

Jadwa Investment’s Head of Research, Dr. Fahad M. Alturki, and Saudi-US Trade Group President Richard Wilson spoke about the Saudi economy and investment in the Kingdom as well as the planned opening of the Saudi stock market to qualified foreign investors. Dr. Fahad said that the average growth in the Saudi economy is going well, with a growth rate of around six percent per annum on average. All the economic or macro indicators like interest rate, fiscal accounts and monetary policy, point to a very strong macro picture in the Saudi economy. However, there is difficulty for SMEs to access banking credit. He considers it a positive development to open the market, and allowing foreign investors’ access to bonds and Sukuk issued by local companies in domestic currency.

It was recently stated in the Financial Times that Saudi Arabia intends to lobby the UK government in November in order to set up a confidential court in London. The court is to settle multimillion pound commercial disputes coming from the Middle Eastern country. The people of Saudi Arabia hope that an arbitration centre based in London will contribute to countering investor concerns about the Saudi Arabian legal system. This way, foreign investment could be stimulated. According to Amgad Husein and John Balouziyeh from SNR Denton, the success of such an arbitration centre depends on its implementation.