PIF aims to grow to $2 trillion from $400bn by 2030: governor

PIF aims to grow to $2 trillion from $400bn by 2030: governor
The Public Investment Fund’s foreign investments have financial and other objectives to support the economy. (AFP file photo)
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Updated 14 January 2021

PIF aims to grow to $2 trillion from $400bn by 2030: governor

PIF aims to grow to $2 trillion from $400bn by 2030: governor
  • PIF’s investment outlook is long-term, with foreign investments currently representing between 25 percent and 30 percent

The Public Investment Fund (PIF) owns 67 percent stake in Lucid Motors with an investment worth $1.3 billion, governor Yasir Al-Rumayyan said in a statement to CNBC Arabia.
Al-Rumayyan indicated that the fund’s foreign investments have financial and other objectives to support the economy.
PIF’s investment outlook is long-term, with foreign investments currently representing between 25 percent and 30 percent, compared to 2 percent in 2016, he added.
The governor said that the fund is one of the largest investors in technology, and seeks to invest in projects within the Kingdom, stressing that the government is a main supporter of its projects.
The size of PIF is currently about $400 billion, and the fund aims to reach $2 trillion in 2030, he pointed out.
Speaking about local investments, Al-Rumayyan said that the fund has excellent stakes in many companies in the Saudi market, as it owns approximately 34 percent of the volume on the Saudi Stock Exchange (Tadawul).
Moreover, increasing its share in ACWA Power came due to the importance of renewable energy in the agenda of the fund and the government in general.
PIF is the single and largest shareholder in NEOM, Al-Rumayyan said, clarifying that the project is not only a real estate development but rather a complete financial, technical and social system.
The project will depend on 14 different sectors, including energy, water, transport, food, manufacturing, media, entertainment and culture, in addition to technology, tourism, sports, design, construction, services in general, health services, welfare and education.
NEOM aspires to form partnerships in each of these sectors with entrepreneurs as well as local and international companies, Al-Rumayyan emphasized, noting that the project has two private funds - one for investment and the other for financing - in addition to the support it receives from PIF.
Meanwhile, the governor also added that THE LINE is the first project of NEOM, and will be funded through investment capital, financing and partnerships with local and international investors.
One of the main objectives of NEOM is to have financial sustainability over the years and good governance in line with the internal system of the project and the investment policies of PIF, Al-Rumayyan concluded.


King Salman Park awards $1bn construction contracts

King Salman Park awards $1bn construction contracts
Image: King Salman Park
Updated 11 sec ago

King Salman Park awards $1bn construction contracts

King Salman Park awards $1bn construction contracts
  • he project, on the grounds of the old airport in Riyadh, aims to create the largest city park in the world
  • The contracts also include infrastructure works and site preparation works for the Royal Complex for Arts

The King Salman Park Foundation has awarded contracts worth SR3.847 billion ($1 billion) to a group of national companies to implement parts of the King Salman Park project, coinciding with the start of construction work, Al Eqtisadiah reported.


These contracts include site preparation works, and the construction of a number of tunnels and bridges on Abu Bakr Al-Siddiq Road and Al Urubah Road. The project, on the grounds of the old airport in Riyadh, aims to create the largest city park in the world.

At 13.4 square kilometers, King Salman Park will be five times larger than London’s Hyde Park and four times larger than Central Park in New York. It aims to become a one-of-a-kind destination, with more than 160 features and attractions covering art, culture, sport and entertainment. Construction is expected to begin in the second half of this year.

The contracts also include infrastructure works and site preparation works for the Royal Complex for Arts.


MEA unit of Virgin Mobile achieves net zero carbon emissions in 2021

MEA unit of Virgin Mobile achieves net zero carbon emissions in 2021
Updated 3 min 50 sec ago

MEA unit of Virgin Mobile achieves net zero carbon emissions in 2021

MEA unit of Virgin Mobile achieves net zero carbon emissions in 2021
  • The telecom company teamed up with Dubai Carbon Center of Excellence to gather data on its operations to calculate its total emissions

DUBAI: Virgin Mobile Middle East and Africa said it has achieved net zero carbon emissions across all its operations in 2021, supported by its ban on single-use plastic in Saudi Arabia. 

The telecom company teamed up with Dubai Carbon Center of Excellence to gather data on its operations to calculate its total emissions. 

Companies in the region are showing increased consciousness about their carbon emissions, inspired by a global movement towards sustainability. Governments in the Gulf are trying to do the same. 

Virgin Mobile previously banned single-use plastic in Oman and Saudi Arabia, eliminating more than 50 tonnes of single-use plastic across the region. 

Other sustainable practices have been implemented in the company’s offices, including policies on business travel, energy use, and environmental awareness for its employees. 


CMA reviews 45 companies awaiting stock market listing

CMA reviews 45 companies awaiting stock market listing
Updated 30 min 35 sec ago

CMA reviews 45 companies awaiting stock market listing

CMA reviews 45 companies awaiting stock market listing
  • The CMA deputy for listed companies & investment products, said the authority wants to expedite applications as part of efforts to support the economy and develop new sectors
  • The CMA highlighted an increase in investors' demand for investment funds, with the number of subscribers rising 12 percent at the end of the first half of 2021

RIYADH: Saudi’s Capital Market Authority (CMA) plans to speed up stock market listings as it revealed around 45 companies are waiting for approval.

In a statement on Tuesday, Abdullah Bin Ghannam, CMA deputy for listed companies & investment products, said the authority wants to expedite applications as part of efforts to support the economy and develop new sectors.

The number of new listings in the Saudi market since the beginning of the year, including traded investment funds, has reached 11, bringing the total number listed to 217, Bin Ghannam said.

The CMA deputy highlighted an increase in investors' demand for investment funds, with the number of subscribers rising 12 percent at the end of the first half of 2021, reaching a record 408,000 investors compared to 364,000 at the end of 2020.


Construction of NEOM's ‘The Line’ will start before the end of 2021, PIF Governor

Construction of NEOM's ‘The Line’ will start before the end of 2021, PIF Governor
Updated 30 min 48 sec ago

Construction of NEOM's ‘The Line’ will start before the end of 2021, PIF Governor

Construction of NEOM's ‘The Line’ will start before the end of 2021, PIF Governor

RIYADH: Construction on NEOM's largest development ‘The Line’ is expected to start by the end of this year, the governor of the Saudi wealth fund said.

The Line — a 170-kilometer, zero-carbon, urban-development project featuring several hyper-connected communities — sparked interest worldwide when it was unveiled earlier this year by the Saudi Crown Prince Mohammed Bin Salman. 

It is also proving hugely popular among Saudis, who see it as their nation’s most ambitious project to date.

"We're hoping we will finalize all the plans before the end of the year and we will start construction before the end of this year," Governor Yasir Al-Rumayyan said in a virtual event hosted by the Future Investment Initiative Institute (FII) on Tuesday.

NEOM's officials announced earlier that there are many areas under development in addition to The Line, such as an industrial city and many resort areas. 

Al-Rumayyan said that some of these areas have advanced in construction ahead of The Line.

"Some parts of the NEOM company have already started with construction. I will give an example. Sandala island which is going to have a lot of resorts and golf courses and other stuff," he added.

NEOM is seeking contractors and investors for the giga project, which is located in northwest of Saudi Arabia, on the Red Sea coast.

About 150 design and construction companies visited NEOM in the last four days, as the Saudi giga-project aims to explore partnership opportunities.

Representatives of global companies visited a 12-square-kilometer logistics park, featuring construction villages with labor communities of up to 30,000 workers, as well as offices, warehouses, and construction service establishments, NEOM said in a statement.

NEOM will be built around sustainability and powered by renewable energy. 

"It’s going to be zero carbon emission, it will have no cars actually. It will be about 170 kilometers, basically a line, and it’s going to be 30 percent more efficient, and when I say efficient I’m talking about the cost efficiency," Al-Rumayyan added.


PIF-owned Amaala awards almost $1bn in contracts 

PIF-owned Amaala awards almost $1bn in contracts 
www.amaala.com
Updated 22 September 2021

PIF-owned Amaala awards almost $1bn in contracts 

PIF-owned Amaala awards almost $1bn in contracts 
  • Around 78 percent of the contracts were awarded to Saudi companies
  • The Amaala project, launched by the Public Investment Fund (PIF), is an ultra-luxury tourist destination on the Red Sea coast

RIYADH: Saudi sovereign fund's Amaala announced that it has awarded more than 230 contracts with a total value of SR3.6 billion ($959.8 million) to local and international companies, Al Eqtisadiah reported.

 Around 78 percent of the contracts were awarded to Saudi companies as part of their commitment to megaprojects Saudi Vision 2030 and contributing to the Saudi economy, the company said in a tweet.

The Amaala project, launched by the Public Investment Fund (PIF), is an ultra-luxury tourist destination on the Red Sea coast with a completely new concept of luxury tourism centered around convalescence, health and treatment.

The PIF announced on Tuesday it is combining its Red Sea Development Co. (TRSDC) and Amaala in a deal where TRDC will be taking over Amaala, as the Kingdom goes ahead with ambitious tourism goals.

"The tourist destinations they are developing will retain “separate, distinct” identities", Chief Executive Officer John Pagano told Arab News on Tuesday.