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Saudi Market: Strict Penalties Target Financial Manipulators

Since last year, the Saudi Arabian Capital Market Authority (CMA) has fined 39 investors with fines exceeding SAR 403 million (Asharq Al-Awsat)
Since last year, the Saudi Arabian Capital Market Authority (CMA) has fined 39 investors with fines exceeding SAR 403 million (Asharq Al-Awsat)
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Saudi Market: Strict Penalties Target Financial Manipulators

Since last year, the Saudi Arabian Capital Market Authority (CMA) has fined 39 investors with fines exceeding SAR 403 million (Asharq Al-Awsat)
Since last year, the Saudi Arabian Capital Market Authority (CMA) has fined 39 investors with fines exceeding SAR 403 million (Asharq Al-Awsat)

Since its establishment in 2003, the Saudi Arabian Capital Market Authority (CMA) has been focused on protecting investors and creating a favorable investment atmosphere to boost confidence in the securities market.

This commitment is reflected in its ongoing efforts to track down and penalize those who have unlawfully profited from investment activities.

From 2023 to the end of May this year, the authority fined 39 investors a total of over 403 million Saudi riyals ($107.5 million). Last year, there were 17 violators, but in the first five months of this year, the number increased to 22.

Dr. Ahmed Al-Tamimi, a licensed lawyer specializing in securities and founder of “Al-Madina Law and Legal Consultancy Firm,” explained to Asharq Al-Awsat how investors break the rules and what punishments they face.

Al-Tamimi explained that manipulating stock prices by spreading false information or rumors is against Article 49 of the Capital Market Law and Articles 2, 3, and 8 of the Market Conduct Regulations.

The regulations prohibit anyone from intentionally creating a false impression about the market, prices, or value of a security to influence others to buy, sell, or refrain from trading that security.

Al-Tamimi highlighted actions like placing orders or trades on a security to create a false impression of trading activity or interest. This includes using technology to automate orders based on preset instructions.

He also mentioned tactics like setting predetermined prices for buying or selling, influencing opening or closing prices, and affecting the prices of other securities.

Al-Tamimi clarified that investors break rules by spreading rumors. This means sharing false information or opinions to manipulate the price or value of a security, whether it’s their own statement or someone else's.

He explained that trading with insider knowledge is covered by Article 50 of the Capital Market Law and Articles 4, 5, and 6 of the Market Conduct Regulations.

This involves information related to a security that could significantly impact its price or value if made public.

It’s against the rules for those with access to such information to trade or share it with others who might trade in the affected security.

According to Article 50, anyone with insider info due to family, work, or contracts (called the informed person) can’t trade or share that info expecting others to trade.

Al-Tamimi noted that the CMA not only directly protects citizens and investors but also sets up defenses.

According to Article 11 of the Market Conduct Regulations, financial institutions and registered individuals can't accept or execute orders if they suspect manipulation or insider trading.

They must notify the authority within three days if they reject an order. If suspicions arise after accepting an order, they must notify within three days of discovering the reasons. The authority also encourages reporting violations by offering financial rewards to whistleblowers for their protection.

Al-Tamimi explained that investors face penalties for actions like market manipulation, spreading rumors, or trading with insider information.

Penalties range from warnings to fines three times the gains made or losses avoided due to the violation, along with potential imprisonment for up to five years.

Moreover, Al-Tamimi warned investors against ignorance of market regulations, as it doesn’t excuse them from responsibility, especially if they manage their portfolios without proper authorization.

He also noted that affected investors can file complaints with the CMA and seek compensation through the Securities Dispute Resolution Committee.

Al-Tamimi stressed the CMA’s commitment to protecting citizens and investors from unfair or fraudulent practices in securities trading.

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Business

Saudi EXIM Bank Signs Trilateral MoU with Poland’s BGK and KUKE

The MoU enhances collaboration among the three parties in export support, financing, and insurance - SPA
The MoU enhances collaboration among the three parties in export support, financing, and insurance - SPA
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Saudi EXIM Bank Signs Trilateral MoU with Poland’s BGK and KUKE

The MoU enhances collaboration among the three parties in export support, financing, and insurance - SPA
The MoU enhances collaboration among the three parties in export support, financing, and insurance - SPA

Saudi Export-Import Bank (Saudi EXIM Bank) has signed a memorandum of understanding with two Polish financial institutions, Bank Gospodarstwa Krajowego (BGK) and Polish export credit agency (KUKE), strengthening cooperation in export support, financing, and insurance, and expanding trade and investment between Saudi Arabia and the Republic of Poland.

According to a press release issued by the Saudi EXIM Bank today, the agreement was signed by Saudi EXIM Bank Deputy CEO Dr. Naif bin Abdulrahman Al-Shammari, Member of the Board of BGK Mateusz Szczurek and CEO and President of the Board of KUKE Janusz Władyczak during the Saudi-Polish Investment Forum, SPA reported.

The MoU enhances collaboration among the three parties in export support, financing, and insurance, including export-related co-financing, guarantees, insurance, and reinsurance. It also promotes the exchange of information and expertise relating to export credit policies and practices, in addition to organizing meetings, workshops, training programs, and capacity-building initiatives.

The release added that the agreement enables Saudi and Polish companies to explore joint business and project opportunities of mutual interest, while facilitating access to non-oil export markets for both countries through cooperation among export finance and guarantee institutions.

On this occasion, Al-Shammari stated: “This memorandum comes as an extension of Saudi EXIM’s efforts to build high-quality partnerships with global export finance and credit insurance institutions, and to establish a cooperation framework that enables exporters and buyers in Saudi Arabia and Poland to access new markets. Through this cooperation, we look forward to enhancing the flow of mutual trade and investment and opening broader horizons for companies to benefit from the opportunities available in both countries.”

The signing of this MoU aligns with Saudi EXIM Bank's strategy to build effective partnerships with export finance and credit guarantee institutions worldwide, supporting the growth and competitiveness of Saudi non-oil exports in regional and global markets, in line with the objectives of Vision 2030.

Business

Oil Gains as Traders Weigh Supply Risks Linked to US–Iran Tensions

A pumpjack, used to help lift oil from a well, in the Permian basin near Midland, Texas, US, October 8, 2025. REUTERS/Arathy Somasekhar/File Photo
A pumpjack, used to help lift oil from a well, in the Permian basin near Midland, Texas, US, October 8, 2025. REUTERS/Arathy Somasekhar/File Photo
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Oil Gains as Traders Weigh Supply Risks Linked to US–Iran Tensions

A pumpjack, used to help lift oil from a well, in the Permian basin near Midland, Texas, US, October 8, 2025. REUTERS/Arathy Somasekhar/File Photo
A pumpjack, used to help lift oil from a well, in the Permian basin near Midland, Texas, US, October 8, 2025. REUTERS/Arathy Somasekhar/File Photo

Oil prices edged up on Tuesday as traders gauged the potential for supply disruptions after US guidance for vessels transiting the Strait of Hormuz kept attention squarely on tensions between Washington and Tehran.

Brent crude oil futures were up 37 cents, or 0.5%, at $69.41 a barrel by 1136 GMT. US West Texas Intermediate crude rose 25 cents, or 0.4%, to $64.61.

"The market is still focused on the tensions between Iran and the US," said Tamas Varga, an oil analyst at brokerage PVM.

"But unless there are concrete signs of supply disruptions, prices will likely start going lower," he said. "The market is range-bound, it's an oversupplied market against geopolitics."

Prices rose more than 1% on Monday, when the US Department of Transportation's Maritime Administration advised US-flagged commercial vessels to stay as far from Iran’s territorial waters as possible and to verbally decline Iranian forces' permission to board if asked.

About a fifth of the oil consumed globally passes through the Strait of Hormuz between Oman and Iran, making any escalation in the area a major risk to global oil supplies.

Iran and fellow OPEC members Saudi Arabia, the United Arab Emirates, Kuwait and Iraq export most of their crude via the strait, mainly to Asia.

The guidance was issued despite Iran's top diplomat saying last week that Oman-mediated nuclear talks with the US were off to a "good start" and set to continue.

Goldman Sachs analysts wrote in a note on Tuesday that prices were supported by geopolitics, with a pickup in oil on vessels as buyers seek to secure more oil amid heightened uncertainty.

"While talks in Oman produced a cautiously positive tone, lingering uncertainty over potential escalation, sanctions tightening, or supply disruptions in the Strait of Hormuz has kept a modest risk premium intact," said Tony Sycamore, an analyst at IG.

Meanwhile, the European Union has proposed extending its sanctions against Russia to include ports in Georgia and Indonesia that handle Russian oil, the first time the bloc would target ports in third countries, according to a proposal document seen by Reuters.

The move is part of efforts to tighten sanctions on Russian oil, a key source of revenue for Moscow, over the war in Ukraine.

Indian Oil Corp bought six million barrels of crude from West Africa and the Middle East, traders said, as India steered clear of Russian oil in New Delhi's push for a trade deal with Washington, which the countries hope to conclude in March.

Business

AlUla Conference Urges Emerging Economies to Act Decisively, Define Their Own Growth Models

Saudi Arabia’s Minister of Finance addresses attendees at the AlUla Conference for Emerging Market Economies (Asharq Al-Awsat). 
Saudi Arabia’s Minister of Finance addresses attendees at the AlUla Conference for Emerging Market Economies (Asharq Al-Awsat). 
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AlUla Conference Urges Emerging Economies to Act Decisively, Define Their Own Growth Models

Saudi Arabia’s Minister of Finance addresses attendees at the AlUla Conference for Emerging Market Economies (Asharq Al-Awsat). 
Saudi Arabia’s Minister of Finance addresses attendees at the AlUla Conference for Emerging Market Economies (Asharq Al-Awsat). 

The AlUla Conference for Emerging Market Economies concluded with a clear call for emerging nations to move beyond imitation and take ownership of their economic futures, as global uncertainty reshapes trade, finance and development models.

Speakers stressed that emerging markets now possess the confidence and capacity to set their own standards and compete globally on their own terms.

Conference discussions reflected a growing shift in mindset among emerging economies, which are increasingly positioning themselves as influential players in the global economy rather than peripheral participants.

A central theme was the expanding role of the private sector, which participants described not only as a partner in development but as a primary engine of sustainable growth.

Saudi Finance Minister Mohammed Al-Jadaan emphasized the need for decisive reform, regardless of political or economic difficulty. He rejected the notion of a “perfect time” for change, urging emerging economies to diagnose their own challenges and take responsibility for addressing them without waiting for external direction.

Speaking during the conference’s closing session on Monday, Al-Jadaan said postponing necessary reforms only increases their cost. He noted that successful structural transformation depends on bold leadership and an acceptance that meaningful economic reform inevitably requires difficult decisions.

Transparency, he said, remains central to Saudi Arabia’s Vision 2030, particularly in building trust with citizens, investors and international partners. Al-Jadaan revealed that more than 87 per cent of Vision 2030 initiatives have been completed or are on track, while 93 per cent of key performance indicators have been achieved or are progressing as planned.

He cited artificial intelligence as an example of adaptive policymaking, noting that while the technology was not initially a dominant focus, changing global conditions required adjustments to ensure Saudi Arabia captures its economic value.

In the same closing dialogue, International Monetary Fund Managing Director Kristalina Georgieva called on governments to shift from directly managing economies to enabling them. She said reducing state control over companies is essential to unlocking innovation and allowing the private sector to flourish.

Georgieva highlighted the mounting challenges facing emerging economies, including geopolitical tensions, demographic change and climate pressures, all of which have increased global uncertainty and made international cooperation indispensable.

Despite differing national circumstances, she said emerging economies share a common goal of building strong institutions and pursuing sound fiscal and monetary policies to enhance resilience.

She also underscored the role of international financial institutions in sharing best practices and supporting a more integrated global economy, concluding with a symbolic message: “One hand does not clap,” to emphasize the importance of partnership in achieving shared prosperity.

The second edition of the AlUla Conference for Emerging Market Economies was hosted in AlUla in partnership between Saudi Arabia’s Ministry of Finance and the International Monetary Fund, bringing together finance ministers, central bank governors, international financial leaders and experts from around the world at a time of heightened global economic uncertainty.