Bahrain Clear signs memo with Edaa

Riyadh, Mar. 17 (BNA): Bahrain Clear, a fully owned subsidiary of Bahrain Bourse today signed a Memorandum of Understanding (MoU) with the Securities Depository Center Company (Edaa), which is a wholly-owned by the Saudi Stock Exchange (Tadawul) and the sole entity responsible for providing custody, registration, clearing and settlement services for securities traded on the Saudi Stock Exchange. The MoU was signed in the Saudi capital Riyadh with the aim of strengthening bilateral cooperation in the dual listing of securities between Saudi Arabia and Bahrain. The agreement falls within the framework of cooperation between the two countries to achieve a common vision and bolster bilateral cooperation on common key issues. The agreement is also part of Edaa and Bahrain Clear joint efforts to enhance their regional standing and implement the highest standards of governance and transparency in the listing processes. Shaikh Khalifa bin Ibrahim Al Khalifa, Vice Chairman and Managing Director of Bahrain Clear, and Mamdooh Al Sedairy, CEO of Edaa, signed the MoU. The agreement aims to identify and standardise the operational, administrative and technical procedures between the two countries, and establish effective cooperation on dual listing of securities in both markets. This will be achieved through the exchange of information and data related to ownership registry, transactions carried out by brokers, members, or investors, transfer of securities, and updating securities ownership registry in both countries. Shaikh Khalifa Bin Ibrahim Al Khalifa was pleased to announce signing of the MoU with Edaa. Sh. Khalifa emphasized that this will pave way for improved market efficiency in terms of governance of dual listing operations and strengthen cooperation between the two countries capital markets, especially those relating to depository and custody services, which in return will increase the Exchange’s attractiveness to foreign investors, enhance liquidity and boost investor trading. Mamdooh Al Sedairy, CEO of Edaa, said: "This partnership reflects our joint commitment with Bahrain Clear to facilitate depositary services between Saudi and Bahraini financial markets including custody and maintenance of ownership registry between both parties."