Saudi King says zero tolerance towards stock market manipulators

Published:  10 Apr at 4 PM

As reported by Arab News, King Abdullah of Saudi Arabia has called for tough new measures against any potential manipulation of the stock market. The move was much welcomed by Saudi-based shares analysts yesterday.

A spokesperson at the Capital Market Authority (CMA) has refused to comment on allegations that its Chairman Abdulrahman Al-Tuwaijri was directed by the monarch to tighten its monitoring mechanisms. There have been some renewed violations of the stock market which require investigation and accountability, which require violators' cases to be examined by the legal authorities, said the King.

Jarmo T. Kotilaine, who is chief economist with the National Commercial Bank, says that curbing manipulation in the market has been a vital part of any emerging stock market’s development. The calls in Saudi Arabia are not isolated or exceptional and must be seen as a necessary step for the evolution of the market, he added.