SINGAPORE: Henry Kissinger, former US secretary of state who helped brings about an entente between China and the US nearly 50 years ago, told the Bloomberg New Economy Forum that there was a risk that rising trade tension could lead to a situation like that in Europe before the outbreak of the First World War.
“There is a risk of it getting out of control, like in Europe in 1914, so both countries have to realize that conflict between them would destroy hopes for the world order,” he said, adding that he was “optimistic” that a compromise could be achieved between America and China.
“We all know what the world would look like if there was a military conflict between China and the USA, so they need to solve their differences,” he said.
Kissinger, who is co-chairman of the NEF’s advisory board, added: “China has not had to experience ‘balance’ (in international affairs). For most of their history they have been the dominant world power. So the challenge is for China to recognize that there has to be a balance.
“The United States has to learn that not every crisis is caused by ill-will. Both sides will have to learn to adapt.”
He said that there was “probably a group of people in the USA who do not want China to be the biggest economy in the world.”
Since Kissinger helped organize the first ever visit by an American president — Richard Nixon in 1971 — the shape of the global economy has changed completely, he added.
“Now China has become a substantial new player that can compete with the USA, so they are bound to step on others’ toes around the world. The challenge is for the USA and China to maintain a co-operative relationship in the face of this.”
Kissinger ‘optimistic’ that risk of First World War scenario can be avoided
Kissinger ‘optimistic’ that risk of First World War scenario can be avoided
- Kissinger helped achieve China-US entente half a century ago
- Former secretary of state says risk of trade dispute escalation
Saudi stock market opens its doors to foreign investors
RIYADH: Foreigners will be able to invest directly in Saudi Arabia’s stock market from Feb. 1, the Kingdom’s Capital Market Authority has announced.
The CMA’s board has approved a regulatory change which will mean the capital market, across all its segments, will be accessible to investors from around the world for direct participation.
According to a statement, the approved amendments aim to expand and diversify the base of those permitted to invest in the Main Market, thereby supporting investment inflows and enhancing market liquidity.
International investors' ownership in the capital market exceeded SR590 billion ($157.32 billion) by the end of the third quarter of 2025, while international investments in the main market reached approximately SR519 billion during the same period — an annual rise of 4 percent.
“The approved amendments eliminated the concept of the Qualified Foreign Investor in the Main Market, thereby allowing all categories of foreign investors to access the market without the need to meet qualification requirements,” said the CMA, adding: “It also eliminated the regulatory framework governing swap agreements, which were used as an option to enable non-resident foreign investors to obtain economic benefits only from listed securities, and the allowance of direct investment in shares listed on the Main Market.”
In July, the CMA approved measures to simplify the procedures for opening and operating investment accounts for certain categories of investors. These included natural foreign investors residing in one of the Gulf Cooperation Council countries, as well as those who had previously resided in the Kingdom or in any GCC country.
This step represented an interim phase leading up to the decision announced today, with the aim of increasing confidence among participants in the Main Market and supporting the local economy.
Saudi Arabia, which is more than halfway through an economic plan to reduce its dependence on oil, has been trying to attract foreign investors, including by establishing exchange-traded funds with Asian partners in Japan and Hong Kong.
