The Saudi government has allowed foreign investment in real estate properties in Makkah and Madinah.
According to Arab media, foreign investors will now be able to invest in the properties of Saudi-listed companies in Makkah and Madinah. This investment will be limited to shares of listed companies or convertible debt instruments. The Saudi Capital Market Authority has set specific rules and regulations for this, and their implementation has already begun.
The Capital Market Authority stated that allowing investment in the shares of real estate companies in Makkah and Madinah is part of Saudi Arabia’s economic strategy. The goal is to boost foreign investment and strengthen the real estate sector.
This decision will accelerate development projects in Saudi Arabia, particularly in these holy cities. It is a crucial part of Vision 2030, which aims to attract foreign investment, diversify the economy, and promote developmental activities.
The authority clarified that foreign investment in companies owning properties within the boundaries of Makkah and Madinah will be subject to specific regulations. According to these regulations, foreign investors can invest in the shares of Saudi companies listed in the financial market or in convertible debt instruments of these companies, or both.
The Capital Market Authority also stated that the total ownership of foreign individuals and entities in any company cannot exceed 49% of its shares.