Mohammed Al-Jadaan, Saudi Arabia’s Finance Minister and the head of the Financial Sector Development Program Committee, highlighted the country’s ongoing economic progression under Vision 2030. Emphasizing financial and economic reforms, Al-Jadaan conveyed optimism for a future where the financial sector is seamlessly integrated with digital and technological advancements, including artificial intelligence and big data.
The Financial Sector Development Program, an integral part of Vision 2030’s eleven executive programs, is designed to foster a robust and diversified financial sector that supports national economic growth, encourages savings, and enhances investment opportunities. It also focuses on improving the sector’s efficiency and resilience to challenges.
Al-Jadaan proudly noted Saudi Arabia’s third-place ranking for competitiveness within the G20 nations, a testament to the country’s strides in the financial market. He also celebrated the growth of financial technology firms, which have surpassed the 2023 target, reaching 216 companies on the way to the 2030 goal of 525.
Khaled Al-Falih, the Minister of Investment, reflected on the country’s ability to navigate global economic complexities, including geopolitical shifts and monetary policy tightening. Despite these challenges, Saudi Arabia has continued its structural reforms, resulting in lower inflation rates and an improved investment climate that elevated the nation’s credit rating to A+.
Al-Falih also took pride in Saudi Arabia’s leadership in the Middle East and North Africa region in venture investments and the increase in financial and insurance institution licenses. He highlighted the country’s efforts in attracting significant international financial institutions, enhancing foreign direct investment, particularly in the insurance sector, and achieving the listing of Saudi stocks on international platforms.
Faisal Al-Ibrahim, Minister of Economy and Planning, credited the Financial Sector Development Program’s success in boosting financial services activities by approximately 5.2 percent annually until the end of Q3 2023. He underscored the program’s crucial role in increasing the economy’s financing capacity, in line with the National Investment Strategy’s objectives.
Al-Ibrahim explained that the program supports the diversification of investment financing sources and draws foreign investment through private financing channels and fintech platforms.
Ayman Al-Sayari, Governor of the Central Bank, elaborated on initiatives to enhance regulatory frameworks and empower the fintech sector, including digitizing supervisory procedures and exceeding the fintech company targets for 2023.
Mohammad Al-Kuwaiz, head of the Capital Market Authority, discussed efforts to stimulate foreign investments and improve market efficiency, which have significantly increased foreign investment in the securities market.
Fahd Al-Saif from the Public Investment Fund (PIF) emphasized the Fund’s role in supporting small and medium-sized enterprises (SMEs) and its goal to boost local content contribution in its projects to 60 percent by 2025.
Khaled Al-Shareef, Chief Administrator of the National Development Fund, highlighted how the Fund has been pivotal in advancing the financial sector, particularly by aiding SMEs in overcoming financing challenges.
The report concludes with the Central Bank’s objectives for 2024, which include further empowering fintech companies, launching digital banks, and introducing savings product regulations. The Capital Market Authority also aims to attract more foreign investors and increase their market share ownership to 17 percent by year-end.