Dubai: The Securities Depository Centre Company (Edaa) said on Wednesday it has signed a Memorandum of Understanding (MoU) with Euroclear Bank SA/NV.

The MoU was signed by Mamdooh Al Sedairy, CEO of Edaa and Bernard Ferran, General Manager of Europe, Middle East, Africa and CIS at the Financial Sector Conference (FSC).

The agreement falls within the framework of cooperation between the two parties, aiming to support the creation of the right conditions for developing the local capital market in Saudi Arabia. This will enable the creation of cross-border links between the depositories and enhancing access for the international and domestic investors.

“This partnership reflects Edaa’s commitment to ongoing contribution in enhancing the capital market through enhancing the investment environment for all investors and market participants. We realise the important role played by depositaries in promoting cross-border investment relations as a vital gateway for foreign and local investments,” Mamdooh Al Sedairy, CEO of Edaa, said in a statement.

Bernard Ferran commented: “We are extremely pleased to sign this MoU with the Securities Depository Centre. This is a powerful first step in this market becoming Euroclearable which can help it expand its institutional investor base and drive further capital market efficiencies.”