More than 300 institutional investors convened with leaders from all seven Gulf Cooperation Council (GCC) stock exchanges and over 100 listed corporates at the HSBC GCC Exchanges Conference held in London this week. Against a backdrop of shifting global capital flows and economic uncertainty, the event spotlighted the Gulf as a key destination for resilient, reform-driven investment.
Now in its fourth year, the conference underscored growing investor confidence in the region’s economic diversification and maturing capital markets. Saudi Arabia took centre stage during the first two days, reflecting its rising profile in the global investment landscape.
Saudi Arabia’s economy registered a 3.4% year-on-year GDP growth in Q1 2025, with non-oil sectors outperforming expectations. High-level discussions at the event focused on liberalising financial market infrastructure and expanding the services and non-oil manufacturing sectors as part of the Kingdom’s broader economic transformation.
H.E. Khalid Al-Falih, Minister of Investment of Saudi Arabia, and Raed Alhumaid from the Capital Market Authority were among the featured speakers.
“The resilient activity in Saudi Arabia’s private and public markets, as well as the breadth of sectors coming to market, is a reflection of investor confidence in the Kingdom’s long-term potential despite testing markets,” said Faris AlGhannam, CEO of HSBC Saudi Arabia.
The Saudi Exchange, which led regional listing activity in Q1 with 12 IPOs across key sectors including real estate, healthcare, and retail, was a major draw for global investors at the event.
Mohammed Al-Rumaih, CEO of Saudi Exchange, stated: “Investor appetite for the Saudi capital market continues to deepen, driven by the Kingdom’s transformation. We remain focused on enhancing market access and infrastructure to support capital formation.”
Despite historical constraints such as domestic liquidity and oil dependency, analysts at HSBC forecast that increased IPO activity, easing of foreign ownership restrictions, and structural reforms could further boost Saudi Arabia’s standing in emerging market indices.
For the first time, HSBC brought together Emerging Market Macro Strategists with GCC stakeholders to reflect increasing EM investor interest in the Gulf, where GDP growth is projected to outpace other EM regions.
As investors increasingly prioritise resilient, reform-oriented economies, the Gulf’s capital markets are becoming an attractive focal point for long-term global capital.
