Saudi Arabia is to open up its stock market to foreign investors, as the country continues to seek new ways of expanding its non-oil related economy.

International financial institutions will be allowed to trade equities on the Tadawul All Share index, reports Saudi Press Agency (SPA). The kingdom’s cabinet has given its approval for the move.

Up to now, the only domestic investors and foreigners have been allowed access to the Saudi market estimated to be worth more than $500bn. It is the Middle East region’s biggest exchange.

The kingdom is implementing a $130bn spending plan aimed at diversifying its economy away from the oil industry.