The Capital Market Authority Publishes the Draft Amended Prudential Rules for Public Consultation

The Capital Market Authority's ("CMA") Board issued, its Resolution to publish the draft of “Amended Prudential Rules" for Public Consultation for a period of (60) calendar days ending on 05/04/1444H corresponding to 30/10/2022G. This comes as part of the CMA's strategic objectives to develop the capital market, and based on the Capital Market Law issued by Royal Decree No. (M/30), dated 2/6/1424 H.

The draft aims to enhance the stability of capital market institutions to further boost the confidence of capital market participants and create an attractive investment environment to support national economy growth.

The main elements of the draft are updating the prudential requirements for carrying out any of the securities business, including updating the requirements of credit, market, operational and concentration risks.

The key features of the draft include updating the methodology used to calculate the minimum limit of capital adequacy, alongside with facilitating the Prudential Rules requirements of investment management, arrangement, and advisory in line with the nature of such activities. The Prudential Rules' requirements of such activities shall be based on expenses. 

The draft comes as a part of the CMA's efforts aiming to regulate and develop the capital market in the Kingdom and to raise the transparency level in the capital market. The CMA is keen to appreciate the efforts of the entities and individuals participating in the Public Consultation as being CMA's partners in developing the Implementing Regulations which pose the Public Consultation phase as a milestone in all CMA's draft Implementing Regulations. 

The CMA, with full gratitude, would receive the views and feedback of relevant and interested persons, through either the Unified Electronic Platform for Consulting the Public and Government Entities (Public Consultation Platform), affiliated with the National Competitiveness Center (NCC), through the following link: (, or the prescribed form through the following email: (

All comments will be taken into full consideration for the purpose of finalizing the draft.

The draft can be viewed via the following link:

 Amended Prudential Rules​​

Prescribed form for providing comments