Saudi inflows could top $35 bln on MSCI, says Deutsche Bank

The Saudi Stock Exchange (Tadawul) could attract around $35 billion (SAR 131 billion) in foreign investments if it is added to the MSCI Inc.’s emerging-markets index, Jamal Al Kishi, Deutsche Bank’s chief executive officer for the Middle East and Africa, told Bloomberg in an interview.

“Given the recent developments in Saudi Arabia and the turmoil in some other emerging markets, Saudi Arabia could potentially attract more significant inflows in my view, but this will not be instantaneous,” he added.

He said Saudi Arabia has moved so fast since it announced its reform plans that it’s too ambitious to expect foreign institutional investors to have had the time to make a proper assessment of what is going on in the country.

“The progress made by the Capital Market Authority (CMA) in the last few months is equal to years of progress in other entities,” he noted.