Tadawul, Edaa green light amendments to short selling, securities lending regulations

The Saudi Stock Exchange (Tadawul) and the Securities Depository Centre Company (Edaa) announced that the respective boards of the Capital Market Authority (CMA) and the Saudi Stock Exchange (Tadawul) approved the following:

- The amended short selling regulations;

- The amended securities borrowing and lending regulations;

- The amended exchange and centre procedures;

- The amended glossary of defined terms used in the exchange rules.

The short selling and securities borrowing and lending regulations include amendments, which allow all types of investors to conduct short selling and securities borrowing and lending activities under specific conditions. This is in addition to amendments related to the criteria and requirements to such activities. Under these changes, Tadawul and Edaa aim to develop a regulatory system in line with the best international practices, and boost competitiveness and reliability.

These rules and procedures will be effective as of today, March 25, 2021.

For more details, please refer to the below: