LONDON, Thursday 2 October 2025 – The International Securities Lending Association (ISLA) has published a new legal opinion that recognises the enforceability of close-out netting under regulations published by the Saudi Central Bank (SAMA) and Capital Markets Authority (CMA) earlier this year.
Authored by Riyadh-based firm STAT Law, the netting opinion covers the Global Master Securities Lending Agreement (GMSLA 2000 & 2010) and will provide market participants and their compliance teams the assurance that securities lending transactions documented under the GMSLA will be enforceable under the laws of the Kingdom of Saudi Arabia (KSA).
This is an important milestone towards strengthening the stability and sustainability of the financial sector in the KSA, bringing the Kingdom’s financial infrastructure in line with international standards.
Andrew Dyson, CEO ISLA, commented, “It gives me great pleasure to announce the publication of the ISLA netting opinion for the Kingdom of Saudi Arabia. The provision of close-out netting paves the way for the securities financing market to support the development of a deep, liquid and efficient capital market, which is vital to Saudi Arabia’s 2030 Economic Vision growth and diversification ambitions”.
The GMSLA Netting Opinions are available to ISLA members who subscribe to the its netting opinions service.
For more information, including a full matrix listing of all 68 jurisdictions covered by ISLA and access to the opinions, please click here.
The publication of this netting opinion forms part of ISLA’s broader Middle East strategy which also includes the publication of securities lending guides for a number of jurisdictions in the region, as well as an increase of the Association’s regional presence through events and roundtables. You can find out more about ISLA’s work in the Middle East here.
For Press Queries, Please Contact:
Rishi Sethi, Content & Communications Director, ISLA
About ISLA
The International Securities Lending Association (ISLA) is a leading non-profit industry association, representing the common interests of securities financing market participants across Europe, Middle East, and Africa (focusing primarily on securities lending and borrowing (SLB) activity). Its geographically diverse membership of over 220 firms includes institutional investors, asset managers, custodial banks, prime brokers and service providers.
ISLA’s affiliate, ISLA Americas was incorporated in 2024 as a non-profit industry association, presently representing the common interests of securities lending firms in the Americas region, namely institutional investors, asset managers, and custodial banks.
