Saudi Arabian flag
Crown Prince Mohammed bin Salman recently launched the national strategy for transport and logistics, which features 92 initiatives and 378 projects.
The strategic initiatives and projects will be carried out at a total estimated capital and operating cost of SAR 613 billion through 2030.
Projects related to the rail network and the General Authority of Civil Aviation (GACA) accounted for 36% and 29%, respectively, of the total estimated cost.
Riyadh Airport expansion project has an estimated cost of SAR 60 billion, the new land bridge (SAR 47 billion) and the GCC railway (SAR 27 billion).
Alternative funding is expected to contribute 12 to 37% to the estimated cost of the transport projects through sukuk issuance, Vision 2030 programs, Public Investment Fund (PIF), National Development Fund, state budget, and private sector contribution.
The fiscal sustainability fund for transport and logistics will help eliminate the state subsidies to less than a quarter of the financing needs.
|
Details of high-priority initiatives in national transport and logistics strategy |
|
|
To boost Saudi Arabia’s position as global logistics hub |
- To develop the Red Sea ports with a capacity of 35 million TEUs, and to become a global trade destination. - To implement the hyperloop transport technology if proven feasible. - To launch the land bridge. - To launch Riyadh’s new airport. - To launch three key integrated logistics centers. -To shorten the customs clearing period to two hours. - To finalize the relevant legislative measures. |
|
To improve quality of life in Saudi cities |
- Road safety program to reduce road fatalities. - To implement smart mobility in automated electric vehicles. |
|
To reach state budget balance |
- Build-up of prerequisites of new capital projects. - To launch road pricing program. - To launch the fiscal sustainability fund for transport and logistics services. |
|
Improve government entities’ performance |
- To convert the ministry of transport into a supervisory authority. - To offer best practices for beneficiaries. - To launch a research center on transport. - To boost the national strategy for transport and logistics services. |
The below table showcases initiatives and the required spending through 2030.
|
Initiatives and the required spending through 2030. |
|||
|
Entity |
Cost (SAR bln) |
Number of Initiatives |
Number of Projects |
|
Saudi Railways |
221 |
11 |
29 |
|
GACA |
180 |
22 |
57 |
|
Ministry of Transport and Logistic Services |
118 |
19 |
74 |
|
Saudi Ports Authority |
59 |
9 |
141 |
|
Transport General Authority |
3 |
15 |
24 |
|
Others (+Logistics Services) |
31 |
16 |
53 |
|
Total |
613 |
92 |
378 |
Comments {{getCommentCount()}}
Be the first to comment
رد{{comment.DisplayName}} على {{getCommenterName(comment.ParentThreadID)}}
{{comment.DisplayName}}
{{comment.ElapsedTime}}