Crown Prince says PIF set to invest SAR 1 trln in local economy

Saudi Crown Prince Mohammed bin Salman

Saudi Crown Prince Mohammed bin Salman and chairman of Public Investment Fund (PIF) approved the fund strategy 2021-2025, which is central to achieving the country’s ambitions for economic growth, good quality of life and inclusive, sustainable development in all traditional and modern industries.  

Over the past years, the PIF made significant investments and reached economic milestones that enabled it to achieve strategic targets, as it doubled its assets to nearly SAR 1.5 trillion by the end of 2020.  

The PIF is planning to inject local investments of SAR 1 trillion in 13 strategic sectors over the next five years.  

The Kingdom’s sovereign wealth fund introduced 331,000 direct and indirect job opportunities until the end of Q3 2020. The PIF aims to create 1.8 million direct and indirect jobs over the next five years.  

The fund launched various vital promising sectors and giga-projects in the Kingdom and worldwide, helping diversify the Saudi economy, in line with Vision 2030.  

The fund is looking to double its assets to SAR 4 trillion by 2025 and to SAR 7.5 trillion by 2030.  

The PIF also aims to increase local content to 60% in the projects of the fund and its affiliates by the end of 2025, continuing to offer new opportunities to the private sector - being a key partner of the fund, the crown prince added. 

The fund is planning to inject investments of up to SAR 2 trillion from 2026-2030, raising its total investments to cumulative SAR 3 trillion over the next decade in new sectors. 

“The PIF is not just the Kingdom’s investment arm, but an engine for economic diversification and job creation,” the Crown Prince said. 

PIF is making significant strides toward becoming one of the world’s largest sovereign wealth funds by 2030. Its assets will exceed SAR 7.5 trillion, achieving inclusive financial and development sustainability, thus solidifying its position to be the partner of choice globally. 

“In 2015, the fund’s board of directors was reconstituted with me becoming the chairman. PIF was restructured and its strategy was reformulated entirely, putting it on the world map,” Prince Mohammed said. 

It doubled its assets and has the ability to invest huge funds in Saudi Arabia and other global markets to achieve long-term returns, backed by a solid and practical governance framework in line with the highest international standards, he further added. 

PIF is committed to inject SAR 150 billion at least in local economy annually. The Crown Prince added that the fund and its affiliates aim to contribute SAR 1.200 trillion to the Kingdom’s non-oil GDP by the end of 2025.

The new five-year #PIFstrategy, unveiled by HRH Crown Prince Mohammed bin Salman today, is the blueprint to achieve #PIF’s 2030 aspirations and meet the goals of #SaudiVision2030.

Read: https://t.co/8Qg9p110elpic.twitter.com/31kwOx1tBb

— Public Investment Fund (@PIF_en) January 24, 2021