Sustainability

Sustainability is a strategic imperative at Saudi Tadawul Group, driving long-term value and competitive distinction. We are building a leading global exchange by embedding sustainability into our core operations, aligning with the highest international standards.

Sustainability Approach
in Saudi Tadawul Group

Driving Sustainable Growth and Impact

Saudi Tadawul Group recognizes that embedding sustainability into its operations is not just a responsibility and commitment but a key driver of long-term value creation and competitive differentiation. Its sustainability approach is fully aligned with its strategic vision, reinforcing the Group’s ambition to rank among the world’s leading exchange groups. By integrating sustainability principles across its ecosystem, the Group enhances resilience, fosters market confidence and strengthens Saudi Arabia’s position as a global financial hub.

The Group is continuously refining its internal sustainability framework to align with the highest international standards, making sustainability a core pillar of its corporate strategy rather than just a compliance requirement. Beyond its own practices, it plays a key role in driving the broader market’s transition toward sustainable financial practices. By expanding its range of sustainability- focused products, the Group enables investors to access opportunities that align with their sustainability goals, reinforcing market stability and long-term attractiveness.

Collaborating closely with issuers, it promotes stronger sustainability management, greater transparency and enhanced disclosures. Additionally, by integrating sustainability into investment decision-making, the Group helps direct capital toward responsible and forward- looking businesses. Through these efforts, Saudi Tadawul Group strengthens its position as a sustainability leader while shaping the future of financial markets.

Sustainability
Framework

A Structured Approach to Sustainability

Saudi Tadawul Group integrates 3 core opportunity areas across 6 key thematic pillars of responsibility, forming the foundation of its sustainability framework. This structured approach ensures that the Group’s most significant sustainability opportunities and impacts are captured and addressed effectively.

By embedding these focus areas into its operations, the Group reinforces its commitment to driving sustainable growth, fostering resilience within the financial ecosystem and aligning with evolving market expectations. This framework provides a clear roadmap for advancing sustainability practices across the Group and the broader capital market.

Material Topics

Identifying Key Sustainability Priorities

Saudi Tadawul Group conducted a comprehensive assessment to define the sustainability issues most critical to its business and Stakeholders, shaping the foundation of its sustainability strategy. This process was guided by extensive consultations and a thorough review of national, regional and global sustainability priorities.

As a result of this rigorous assessment, the Group identified 15 sustainability-related issues that are most relevant to its business and Stakeholders. These priorities are directly linked to its sustainability framework and ongoing strategy development. The Group remains committed to regularly reviewing and updating its materiality matrix to ensure alignment with market developments and evolving Stakeholder expectations.

Materiality Matrix

Sustainability Pillars

Pillar 1

Continuously elevate the sophistication of the Saudi Capital Market

Saudi Tadawul Group is committed to advancing Saudi Arabia’s capital market in alignment with Vision 2030 and the Financial Sector Development Program (FSDP). By strengthening its world-class infrastructure, the Group ensures the efficient operation of both equity and debt capital markets, fostering greater market depth and resilience. A key priority is expanding access for small and medium-sized enterprises (SMEs), enabling their participation in the capital markets as a vital driver of economic diversification. The Group also continues to enhance Saudi Arabia’s appeal as a global investment destination, attracting increased foreign capital and reinforcing the Kingdom’s position as a leading financial hub.

UN SDG Contribution

Promote development-oriented policies that support productive activities, decent job creation, entrepreneurship, creativity and innovation, and encourage the formalization and growth of micro-, small-, and medium-sized enterprises, including through access to financial services.

Pillar 2

Promote integrity

Integrity and trust are the foundation of a thriving financial market, and Saudi Tadawul Group upholds these values through strict governance standards that ensure transparency, strong oversight and market credibility. By balancing regulatory compliance with innovation, the Group adapts to evolving market needs while maintaining stability. Its commitment to safeguarding market integrity fosters investor confidence, attracts investment and drives sustainable economic growth, reinforcing a resilient and high-performing financial ecosystem.

UN SDG Contribution

Improve the regulation and monitoring of global financial markets and institutions and strengthen the implementation of such regulations.

Pillar 3

Become a global hub for debt-related sustainable finance

Saudi Tadawul Group is committed to advancing and expanding its debt capital market capabilities while strengthening its global appeal. By advocating for and facilitating sustainable finance issuances, the Group aims to accelerate market development, attract international investment and reinforce Saudi Arabia’s position as a leading financial hub.

UN SDG Contribution

Strengthen the means of implementation and revitalize the global partnership for sustainable development.

Pillar 4

Lead the market towards sustainability adoption and disclosure

Saudi Tadawul Group is advancing sustainability in Saudi capital markets, linking strong sustainability performance to resilience and market appeal. By enhancing transparency, expanding sustainability guidance and setting a benchmark with its own disclosures, it strengthens investor confidence and drives adoption of sustainability management. Improved access to sustainability data empowers investors and fosters a competitive market, ensuring Saudi Arabia remains a leading global investment hub aligned with its economic and sustainability goals.

UN SDG Contribution

Encourage companies, especially large and trans-national companies, to adopt sustainable practices and to integrate sustainability information into their reporting cycle.

Pillar 5

Address climate change and foster a circular carbon economy

Saudi Tadawul Group is committed to creating the market infrastructure for a net zero, circular carbon economy, positioning Saudi Arabia as a global hub for carbon trading. In 2022, it launched the Regional Voluntary Carbon Market Company (RVCMC) in partnership with PIF (20% ownership) to drive liquidity and transparency in carbon credit markets. By expanding sustainable finance solutions and developing carbon trading frameworks, the Group is accelerating the Kingdom’s climate transition and strengthening its role in global sustainability efforts.

UN SDG Contribution

Improve education, awareness raising, human, and institutional capacity on climate change mitigation, adaptation, impact reduction and early warning.

Pillar 6

Support the talent that drives market progress

Saudi Tadawul Group is committed to developing national talent, advancing gender balance and promoting financial literacy to sustain Saudi Arabia’s transformation. Through significant investments in training, the Group equips its workforce with knowledge, skills and expertise to drive market growth and global integration. To foster an inclusive financial ecosystem, the Group is intensifying efforts to empower women and expand financial education programs. With sustainability principles shaping investment decisions, it is also scaling up sustainability-focused training to equip Stakeholders with the knowledge needed to drive a more resilient and sustainable market.

UN SDG Contribution

Ensure women’s full and effective participation and equal opportunities for leadership at all levels of decision making in political, economic, and public life.

Employees by Gender 2024 2023 2022
Females 168 142 123
Males 355 352 357
Employees by Nationality 2024 2023 2022
Saudi nationals 482 433 423
Non-Saudi nationals 41 43 39
Saudi nationals (%) 92% 91% 92%