Local content concept in NEOM projects has SAR 17 bln financial impact: Official

Logo of NEOM

Abdullah AlMasoud, Executive Director, Projects Procurement at NEOM, said that the economic impact of developing local content in NEOM projects reached over SAR 17 billion.

Local content accounted for more than 39% of NEOM projects, as 90% of contractors are local firms, AlMasoud added during the Local Content Forum, adding that NEOM targets 45% local content by 2030.

As many as 16 categories of equipment and raw materials were prioritized based on the projects’ schedule and the cost of materials was set, the official noted, adding that efforts continue to maximize local content, determine localization plans, transfer knowledge and boost production.

Moreover, meetings were held with high-speed rail and metro manufacturers who showed strong interest in investment and establishing a rail factory at NEOM.