Riyadh - Mubasher: Saudi Arabia has been added to JP Morgan’s government bond index for emerging markets (GBI-EM) watchlist, recognizing the Kingdom’s efforts to deepen market liquidity and attract global investors.

The inclusion is expected to attract initial foreign inflows of around SAR18.75 billion ($5 billion) into the Saudi Sukuk and debt capital market, according to a press release.

The GBI-EM tracks local currency bonds and Sukuk issued by emerging market governments.

Mohammed Al Rumaih, CEO of the Saudi Exchange (Tadawul), commented: "The Saudi Exchange has consistently demonstrated dedication and commitment in developing sophisticated Saudi debt capital markets, and together with our partners, we are fostering a dynamic, globally competitive capital market aligned with international best practices.”

The Saudi debt market has seen major reforms in recent years, enhancing efficiency, transparency, and global alignment.

Working with the Capital Market Authority (CMA) and National Debt Management Center (NDMC), Tadawul has upgraded market infrastructure and streamlined issuance processes.

Key milestones include the launch of OTC settlements for listed debt, the fixed income market making framework, and phase 2 of the post-trade transformation program (PTTP).

Meanwhile, the total value of sukuk and debt traded on Tadwul hit SAR 688 billion ($183 billion), while the foreign investment hiked by 25% year-on-year (YoY) in the second quarter (Q2) of 2025.

Since May 2025, OTC settlements have totaled SAR 2.90 billion ($765 million), 88% of which involved foreign counterparties.