RIYADH: More than SR12 trillion ($3.2 trillion) is set to be ploughed into Saudi Arabia by 2030 as the Kingdom seeks to diversify its economy away from the oil sector, according to the minister of investment.
Speaking at a forum in Riyadh in the wake of the 2022 budget announcement, Khalid Al-Falih said the Kingdom was aiming to attract SR1.8 trillion in foreign investment over the next nine years.
Al-Falih said Saudi Arabia would be looking to secure investments in untapped business sectors, including green hydrogen, renewable energy, and information technology.
The minister highlighted some 300 legislative reforms made by the Saudi government as it seeks to open up its economy.
Reflecting on his ministry’s work in 2021, Al-Falih said: “As you have seen at the investment forum, 44 international companies have signed and received permission to establish regional headquarters in Riyadh.”
The minister went on to say that Saudi Arabia’s capital expenditure was disbursed in channels including the Public Investment Fund, and in line with the National Investment Strategy, while factoring in the coordination between both public and private sectors.
The Kingdom established an Investment Ministry and created affiliated offices in all its destinations, which underpinned the significance of investment.
The government has adopted a four-pillar strategy: creating awareness of investments; empowering different types of investors, like PIF; boosting financing instruments; and tackling regulatory issues to make sure the Kingdom is competitive.
The budget shows that Saudi Arabia is expecting a surplus next year for the first time since 2013.
Ministers are forecasting a surplus of SR90 billion, while total revenues for 2022 are estimated at SR1.05 trillion.
Spending is estimated to come in at SR955 billion — the lowest level since 2017.