Saudi Stock Exchange witnessed an unprecedented jump on Wednesday, as the Saudi market index rose 5.1% at 11426 points, achieving a rise not seen since March 2020, more than 5 years ago, against a state of decline in the Gulf markets.

Why the Saudi Stock Exchange Index rose 5.1% at the level of 11426 points, achieving a rise not seen since March 2020, more than 5 years ago.

The reason for the rise of the Saudi stock index

The rise in the Saudi Market Index coincides with the Kingdom's announcement that it will ease foreign ownership restrictions in the Saudi market, allowing foreign ownership in listed companies to exceed 49%, a move that is seen by the world as unprecedented and will revitalize the stock market and attract new capital flows.

The Saudi Stock Exchange Index

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New capital inflows

Capital market insiders expect $10.6 billion in capital to flow into the Saudi market when the Saudi Capital Market Authority (CMA) raises the foreign ownership limit for shares.

At the level of expectations of who will be the biggest winner from these expected financial flows, speculations differed among experts, as some tended that Al Rajhi Bank will be the biggest beneficiary of any new flows, while some specialists saw that the Saudi National Bank and Alinma Bank will be the main winners in this race.

Some specialists saw that the Saudi National Bank and Alinma Bank will be the main winners in this race.