https://arab.news/zkxup
RIYADH: In a move to bolster the growth of capital markets in Kuwait and Saudi Arabia, the stock exchanges in the two countries have signed a deal that will see both entities extending their cooperation in areas of mutual interest.
Under the new memorandum of understanding, the Tadawul Group, the owner of the Kingdom’s main stock exchange, and Boursa Kuwait will work toward developing financial technology and products, while collaborating for sustainability, as well as environmental, social and governance reporting and implementation, according to a press release.
The deal will help cross-listing of companies on both exchanges as they will look to synergize their efforts in the areas of financial literacy and raise awareness among market participants from both countries.
They will work toward exchanging perspectives on how best to entice family businesses, government entities and small and medium enterprises to list on their respective exchanges, the press release added.
Khalid Al Hussan, CEO of Saudi Tadawul Group, said: “We are confident that our new partnership with Boursa Kuwait is another step towards championing a diverse, interconnected and advanced capital market in Saudi Arabia and the Middle East.”
He added that the MoU comes in line with their commitment to elevating the Saudi capital market for regional and international investors “while facilitating greater connectivity with other exchanges in the Gulf Cooperation Council.”
Boursa Kuwait CEO said the signing of the MoU is an indication of their long-term partnership to develop the market and enhance the investment environment locally and across the region.
“Through this MoU, we hope to broaden cooperation and knowledge transfer across the Gulf markets in what benefits these markets and the national economics of all parties,” said Mohammad Saud Al-Qsaimi.
He added: “We at Boursa Kuwait work towards creating an attractive business environment and an adaptable, solvent capital market with a high level of transparency that is able to attract more and more investors from the region and around the world.”
Boursa Kuwait recorded a 29.2 percent increase of 15.1 million Kuwaiti Dinars ($49.2 million) in its net profit for the nine-month period that ended on Sept. 30, 2022, compared to 11.7 million dinars recorded during the same period last year. The group's total assets came in at around KD114.7 million dinars.
Saudi Tadawul Group posted a 23 percent drop in profit to SR367 million ($98 million) in the first nine months of 2022, down from SR477 million the company made during the same period last year.