Saudi Arabia is poised to strengthen its education, investment, securities trading, and sustainability sectors through the signing of six agreements that align with the goals of Vision 2030.
The first agreement involves the Ministry of Human Resources and Social Development and the Saudi Exchange, who have signed a cooperation agreement during the third Saudi Capital Market Forum. The deal establishes a Social Responsibility Index, which will serve as a crucial tool for assessing and promoting corporate social responsibility practices among listed companies on the Saudi Exchange. The launch of this index is in line with the national sustainability standards being developed by the Ministry of Economy and Planning, the Capital Market Authority, and the Saudi Tadawul Group.
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Furthermore, the Social Responsibility Index will provide valuable insights into companies’ commitment to social responsibility. It will feature a rating system that will assist investors and stakeholders in supporting sustainable businesses.
In addition to the Social Responsibility Index agreement, five more agreements were signed during the event, addressing key areas such as education, investment, securities trading, sustainability, and tree planting.
Promoting art education and training programs
Another significant memorandum of understanding (MoU) was signed between the Saudi Tadawul Group and Atrum, which aims to support artistic initiatives, educational programs, and cultural exchanges within the Kingdom. This strategic alliance will leverage the strengths and reach of both parties, with the MoU highlighting five key areas of collaboration: artistic collaboration, educational outreach, art investment, public art projects, and cultural exchange. The partnership aims to bring art into public spaces, enhance Saudi cities with engaging installations, and prioritize art education programs, training, and creative workshops to nurture local talent, ultimately cultivating a dynamic and diverse artistic landscape in Saudi Arabia.
Facilitating knowledge exchange of local investment expertise
Riyad Capital and E Fund, a Chinese asset management firm, have signed an MoU to facilitate knowledge sharing on local investment expertise and stimulate collaboration in developing future investment products. This agreement will serve as the foundation for potential binding agreements related to the sharing of local investment expertise.
Launching the Repo Trading Platform
The Saudi Capital Market, Muqassa, and Swiss cash management company Instimatch Global have also signed an agreement to launch a Repo Trading Platform for the Saudi market. Muqassa will play a crucial role as the central clearing entity for all Repo transactions on the platform, ensuring a secure and efficient process for market participants. With Muqassa’s support, Instimatch Global AG will continuously enhance the trading platform to meet the evolving needs of consumers. The MoU sets the stage for future cooperation between the two parties in introducing new goods and services to the Saudi capital market.
Exploring sustainability opportunities
In the realm of sustainability, Saudi Agricultural and Livestock Investment Co., a wholly owned subsidiary of the Public Investment Fund, has signed an MoU with the Saudi Exchange. This collaboration aims to explore sustainability opportunities and encompasses joint initiatives such as educational programs, awareness campaigns, and investor outreach activities. Additionally, the agreement outlines a cooperative strategy to coordinate strategic activities, share knowledge through educational initiatives, and enhance transparency in sustainability efforts. Also, regular communication and collaborative marketing initiatives will underscore the importance of sustainable development and its integration into corporate operations.
Addressing critical environmental issues
The signing session concluded with an MoU between the Saudi Tadawul Group and Shatlat to support forestation in the Kingdom. This joint endeavor aims to address critical environmental issues and promote sustainable practices in Saudi Arabia. As part of this initiative, the Tadawul Group will plant 300 trees for each occurrence of the Saudi Capital Market Forum and 50 trees for every company listing on the main market. Additionally, 10 trees will be planted for each company listing on the Nomu-Parallel market in Riyadh, among other initiatives to enhance the local ecosystem. Shatlat will be responsible for the maintenance, irrigation, and provision of seeds. The Saudi Tadawul Group and Shatlat will share data and information to enhance environmental sustainability and collaborate on programs to preserve the environment across the Kingdom.
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