๐ Foreigners to gain access to #Saudi real estate โ company stocks soar
Saudi authorities have approved a new law allowing foreigners to buy property in designated zones. Following the announcement, the Tadawul Real Estate Index hit its highest level since May, with shares of Retal and Saudi Real Estate rising over 5%.
โ๏ธ Key facts
โซ Foreigners will be allowed to own property in specific areas of Riyadh and Jeddah
โซ Mecca and Medina will retain โspecial requirementsโ
โซ The law takes effect in January next year; the Real Estate General Authority will define the designated areas
โซ Expected #market boost: demand is likely to grow not just for housing, but also for cement, banking, and related sectors
๐ Context
โซ Saudi Arabia is accelerating market liberalization to attract foreign investment
โซ It previously allowed foreigners to own shares in developers operating in holy cities
โซ The new model mirrors Dubaiโs success โ after similar reforms, its market attracted hundreds of billions in investments
๐ฃ โThis move could have a very broad positive impact across multiple sectors,โ said Junaid Ansari of Kamco Invest