Forum Launch and Market Growth: The Debt Markets and Derivatives Forum 2024 (DMDF 2024) opened in Riyadh, with Mohammed Al-Quwaiz, Chairman of the Capital Market Authority, highlighting the Saudi debt market's significant growth to SAR 800 billion since 2019, while noting its potential for further expansion.
Focus on Diversification and Foreign Investment: Al-Quwaiz emphasized the need to attract more foreign investment by integrating with global indices and expanding market scope. Recent years have seen a diversification of investors beyond traditional Saudi banks, including funds and insurance companies.
Key Partnerships and New Certification: The forum features partnerships with entities such as the Saudi Tadawul Group and the Chicago Stock Exchange. A new certification, "Introduction to the Saudi Financial Market," was announced to enhance understanding of the Saudi financial markets, aligning with long-term strategies under Saudi Vision 2030.
Riyadh, September 9, 2024 — The Debt Markets and Derivatives Forum 2024 (DMDF 2024) has officially commenced in Riyadh, marking a significant event in the financial calendar. The forum was inaugurated by Mohammed Al-Quwaiz, Chairman of the Capital Market Authority (CMA) and the Chairman of the Financial Academy's Board of Trustees. In his opening remarks, Al-Quwaiz highlighted the remarkable growth of Saudi Arabia’s debt market, which has experienced a twofold increase in value to SAR 800 billion since 2019. Despite this expansion, he pointed out that the debt market still constitutes less than 20% of the Saudi economy, signaling substantial opportunities for further development.
Al-Quwaiz noted that while Saudi banks have traditionally dominated the debt market, there has been a notable shift in recent years. The market has increasingly attracted a diverse range of investors, including investment funds, insurance companies, and other specialized entities. He emphasized that the next phase of the market’s evolution will focus on attracting more foreign investment. This includes integrating Saudi Arabia’s debt market into more global indices and broadening its scope beyond mere regulatory adjustments. The current favorable conditions are seen as making the Saudi debt market particularly attractive to international investors, especially when compared to the stock market.
In addition to discussing market dynamics, Al-Quwaiz commended the Financial Academy for its significant contributions to the sector, particularly through its comprehensive training initiatives. He highlighted that in 2024 alone, the academy has trained over 400 professionals in the debt market and continues to offer development programs aimed at enhancing the skills of industry practitioners.
Mana Al-Khamsan, the Executive Director of the Financial Academy and the forum’s organizer, welcomed participants and underscored the forum’s role as a crucial platform for financial market experts and decision-makers. He described the forum as instrumental in addressing emerging trends and shaping the future of the financial sector. The agenda of this year’s forum revolves around two primary themes: exploring the latest opportunities in the bond and Sukuk markets, and examining advancements in financial derivatives.
This year’s event is distinguished by its extensive range of partnerships with leading entities, including the Saudi Tadawul Group, the Chicago Stock Exchange, and the International Capital Market Association (ICMA). These collaborations are designed to facilitate in-depth discussions on futures markets and related financial topics, contributing to a richer and more comprehensive dialogue.
Furthermore, Al-Khamsan announced the launch of a new professional certification in partnership with ICMA, titled "Introduction to the Saudi Financial Market." This new certification aims to deepen participants' understanding of Saudi financial markets and equip them with the knowledge needed to navigate future developments effectively.
The forum also emphasizes long-term strategies aligned with Saudi Vision 2030, focusing on supporting the Kingdom’s financial sector through innovative approaches. Sessions are designed to explore the dynamics of financial markets, informed by expert insights into current trends and future needs. The growing importance of the debt and derivatives markets is highlighted, particularly in light of recent regulatory and legal reforms that have shaped these sectors.
The DMDF 2024 represents a pivotal moment for Saudi Arabia’s financial markets, fostering improvements in market performance, enhancing financial awareness, and promoting innovation in financial services. The event offers valuable insights and solutions tailored to the evolving needs of the sector and serves as a venue for discussing the financial requirements and future directions of the markets.
The participation of international players like the Chicago Stock Exchange underscores the global perspective of the forum. The collaboration between local, regional, and international entities highlights Saudi Arabia’s commitment to developing a diversified and innovative financial sector. The forum blends global expertise with localized knowledge, ensuring that its programs effectively meet the demands of the financial market.
In conclusion, Al-Khamsan reiterated the Financial Academy’s dedication to supporting the growth of the sector through ongoing education, training, and certification programs. These initiatives aim to empower professionals in Saudi Arabia and position the Kingdom as a leader in financial services innovation on the global stage.