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Based on the Council of Ministers’ Resolution No. (388) dated 24/9/1435H (corresponding to 21/7/2014G) that permitted the Capital Market Authority (CMA) to allow foreign financial institutions to trade shares listed on the Saudi Stock Exchange in accordance with the time the CMA deems appropriate and pursuant to regulations it issues; the CMA announced on 25/9/1435H (corresponding to 22/7/2014G) that it will: publish the draft Rules for Qualified Foreign Financial Institutions investment in Listed Shares (the "Rules") to enable concerned and interested parties to provide their comments and observations; check the readiness of the Saudi Stock Exchange (Tadawul); coordinate with relevant governmental parties prior to the adoption of the Rules; and that the market will be, based on that, opened for qualified foreign financial institutions to invest in listed shares during the first half of 2015.

Accordingly, the CMA published the draft Rules for (90) days on its website on 25/10/1435H (corresponding to 21/8/2014G) to enable concerned and interested parties to provide their comments and observations. The CMA has reviewed comments and observations received in this regard, coordinated with concerned governmental parties, and received the Saudi Stock Exchange (Tadawul)'s confirmation of its readiness.

Based on that and aiming at: enabling Authorised Persons to prepare and put necessary procedures in place to receive applications of foreign financial institutions to register as qualified foreign investors in accordance with the Rules and informing the public, market participants, and interested parties of the developments of this matter to strengthen transparency in the Saudi capital market; the CMA Board has adopted the following timeline to implement the Council of Ministers' Resolution referred to above:

1) Final Rules will be approved and published on 15/7/1436H (corresponding to 4th May 2015G).

2) The Rules will be effective starting from 14/8/1436H (corresponding to 1st June 2015G).

3) Qualified foreign investors shall be allowed to invest in listed shares starting from 28/8/1436H (corresponding to 15th June 2015G).

CMA