Alternative Investments

A growing role for the private sector has brought greater investment opportunities in Saudi Arabia, with both domestic and international players taking a greater interest in the local market. With the stock exchange opening its doors to foreign investors and a recovery in the number of IPOs, significant capital inflows are expected in the short to medium term. A number of corporate and private investors have increasingly started to deploy their assets in venture capital, and several angel investor networks have been established. Foreign interest is also on the rise with international private equity players paying closer attention to the Saudi market, attracted by its size, growth rates and large domestic consumer market. Elsewhere, the government has stepped up its efforts to enhance the level of corporate governance in family-owned businesses, in a bid to further streamline private sector involvement.