Lower trading costs and stronger market-making measures aim to improve liquidity and broaden participation in the Saudi derivatives market.
According to the latest reports, Saudi Arabia is taking another step toward developing its capital markets by making derivatives trading cheaper and strengthening measures designed to improve liquidity. The Saudi Exchange and clearing house Muqassa have introduced a set of changes covering futures contracts linked to the country’s most actively traded companies.
The measures, which came into effect recently, include reduced trading, clearing, and regulatory fees, along with a one-year waiver on transaction and final settlement fees for futures. The changes apply to MT30 Index Futures and Single Stock Futures. The move comes as Saudi authorities continue efforts to make the country’s financial markets more accessible to domestic and international investors.
Focus on liquidity and market participation.
One key change involves the market-making framework. Market makers are expected to provide more consistent buy and sell quotations, helping investors trade derivatives more easily.
The Saudi Exchange has also introduced agreements with market makers to support liquidity in futures contracts. SNB Capital, for example, has begun market-making activities covering MT30 Index Futures and Single Stock Futures. The single-stock contracts include futures linked to companies such as Saudi Aramco, STC, Ma’aden, Saudi National Bank and Al Rajhi Bank. For a relatively young derivatives market, improving liquidity is important. Futures give investors additional tools to manage market exposure and hedge against potential price movements.
Part of a wider capital market opening.
The derivatives push is taking place alongside broader reforms in Saudi Arabia’s financial markets. In February 2026, the Capital Market Authority opened the Saudi Main Market to direct investment by all categories of foreign investors, removing the previous Qualified Foreign Investor framework. The regulator said the changes were intended to widen the investor base and support market liquidity.
Saudi authorities have also been expanding the range of financial products available to investors. In July, the CMA began accepting applications for a licence to operate a commodity exchange, focusing on secondary-market trading in commodity and metals derivatives. The latest measures indicate that Saudi Arabia is focusing not only on attracting capital, but also on building the infrastructure needed for a more active and diversified financial market.
Lower costs could encourage greater derivatives participation, while stronger market-making arrangements may help improve liquidity and price discovery. However, the long-term impact will depend on whether trading volumes and participation rise consistently.
