Saudi advisory council to discuss land tax, MSCI inclusion

Saudi Arabia’s Shura Council plans to meet on Monday to discuss imposing a tax on undeveloped land, the official Saudi Press Agency reported on Thursday.

The body advises the government on legislation. SPA did not give any details.

Earlier this month the housing minister said the cabinet had submitted a proposal to the council to impose a fee of no more than 100 riyals ($26.67) per square metre on undeveloped land, and that the council was expected to complete its study of the proposal within 30 days.

SPA also said the council would discuss a report by the stock market regulator on trying to have the Saudi market join MSCI’s emerging markets index.

The council’s financial committee has “recommended expediting and finalising the necessary requirements to list Saudi stocks in MSCI’s emerging markets index”, SPA said.

It did not elaborate on the requirements, and MSCI has indicated that any entry into its index, if it happens, would not occur before 2017.