The value of foreign investments in Saudi Arabia rose by the end of the second quarter of this year 2019 to about 1.685 trillion riyals, according to preliminary estimates, recording a growth of 10.9 percent equivalent to 165.73 billion riyals on an annual basis, and 3 percent equivalent to 49.81 billion riyals, compared to the end of the first quarter 2019.
According to the analysis of the reports unit in "Al-Eqtisadiah" newspaper, based on the Saudi Arabian Monetary Agency (SAMA), the growth of foreign investments during the second quarter of 2019 came on a year-on-year basis by dint of the growth of all items or types of foreign investments, especially "portfolio investments", which grew by about 112.42 billion riyals, then "other investments" by 51.62 billion riyals, the latest "direct investment within the economy," which grew by about 16.83 billion riyals.
Foreign investment consists of three main items: direct investment within the economy, portfolio investment, which is divided into two components (equity, investment fund shares and debt securities), and third, "other investments", divided into three sections (loans and deposits and other accounts payable).
The increase in investments on a quarterly basis is due to the increase in the sub-item "property rights and Equity Funds", one of the most important items of "Portfolio Investments" by 26.5%, equivalent to 39.69 billion riyals.
Portfolio investments reached 452.39 billion riyals at the end of the second quarter, compared to 412.7 billion riyals at the end of the first quarter of 2019, and compared to 355.02 billion riyals at the end of the second quarter 2018.
Portfolio investments accounted for 25.4 percent of total foreign investment at the end of the second quarter of 2019, compared with 25.2 percent at the end of the previous quarter and compared to 23.4 percent at the end of the second quarter of 2018.
"Other investments" grew 1.7 percent, equivalent to about 6.1 billion riyals on a quarterly basis, supported by "currency and deposits", which grew 4.1 percent, equivalent to about 4.89 billion riyals.
"Other accounts payable" also grew 2.6 percent by about 1.08 billion riyals, and "loans" by 0.1 percent, equivalent to about 131 million riyals.
The value of " other investments '' at the end of the second quarter of 2019 amounted to about 355.38 billion riyals, compared to 349.28 billion riyals at the end of the first quarter 2019 and compared to 303.75 billion riyals at the end of the second quarter 2018.
They accounted for about 21.1 percent of total foreign investment by the end of the second quarter of 2019.
Finally, "direct investment in the economy", one of the main items of foreign investment, as its value grew on a quarterly basis, 0.5 percent, equivalent to 4.02 billion riyals.
The value of about 877.22 billion riyals at the end of the second quarter of 2019, compared to 873.2 billion riyals at the end of the first quarter of 2019 and compared to 860.48 billion riyals at the end of the second quarter 2018.
Direct investment within the economy accounted for about 52.1 percent of total foreign investment by the end of the second quarter of 2019.
