Saudi Arabia’s addition to the MSCI Emerging Markets watch list is a crucial step in moving it closer to joining a major global index, but ramifications of the appointment of Muhammad bin Salman as crown prince could be more far reaching. On the one hand it implies that the modernizing efforts he has driven are here to stay – seen as positive for the kingdom’s long-term economic prospects. On the other hand some of his boldest decisions have not brought the desired results (MEES, 23 June).
While investors have been looking on warily over the last month as the economic fallout between Qatar and its GCC neighbors continues to unfold, Saudi Arabia has scored a notable milestone on the global investment stage and confirmed a succession plan that guarantees further injection of foreign investment into its economy. (CONTINUED - 2314 WORDS)
