Capital Market Authority: "We Closely Observe the Capital Market and Review All Precautionary Measures on an Ongoing Basis to Ensure its Stability."

​In line with the precautionary measures adopted by the Kingdom of Saudi Arabia to curb the spread of COVID-19; and in reference to the Saudi Stock Exchange’s (Tadawul) announcement on the temporary reduction of trading hours; the Capital Market Authority (CMA) confirms its continuous support of the health of the investment society and all its participant.

Nevertheless, The CMA has taken several precautionary measures to further assist market participants in these exceptional circumstances. Such measures include suspension of General Assemblies for listed companies until further notice and hold them via modern technology means, availability of e-voting for shareholders through “Tadawulaty” system provided by the Securities Depository Center Company “Edaa” and suspension of investment accounts freezing as per Investment Account Instructions. Moreover, the CMA stressed earlier on the financial institutions under its supervision to commence initiating business continuity plans and utilize modern technologies to ensure the continued pace of business without the need to visit trading rooms. The CMA monitors the market on an ongoing basis to take any additional measures that may be required in time to maintain the safety of the market and all its participants.

The CMA indicated that, in light of these exceptional circumstances, the importance of the continuity of the capital market and its transactions is highlighted. This step is taken to measure and analyze the economic status quo and its participants, and to promptly debottleneck any issues that traders may encounter . This translates the CMA role in promoting investment in the capital market. Technology has become significantly supportive of investors trading in the Saudi market, electronic trading accounts for approximately 90% of the total trading even before the recent events.