Saudi Arabia has undertaken several reforms and market infrastructure investments over the past decade to grow its capital markets. These reforms are crucial to further advance its Vision 2030 goal of increasing its economic, social, and cultural diversification. The stock exchange Tadawul's inclusion in major emerging market equity indices in 2019 was a key milestone and over the past decade its market capitalization has increased 463%. Yet in terms of market capitalization, the market is still dominated by a relatively small number of government-related entities (GREs), and market liquidity as measured by trading volumes remains relatively low, albeit highest in the GCC region. Foreign investors' holdings on Tadawul continue to rise but remain low at about 4.2% of the market
