- The six companies will target investments worth up to SAR 90 billion (USD 24 billion) in the Kingdom of Bahrain, the Republic of Iraq, the Hashemite Kingdom of Jordan, the Sultanate of Oman, and the Republic of Sudan, in addition to the Arab Republic of Egypt
- The six companies will invest in several key sectors including, but not limited to, infrastructure, real estate development, mining, healthcare, financial services, food and agriculture, manufacturing, telecoms, technology, and other strategic sectors
- The announcement comes in line with PIF’s strategy of seeking new investment opportunities in the MENA region, while enabling the Saudi private sector and that of the six countries
RIYADH, 26 October 2022 – His Royal Highness Crown Prince Mohammed bin Salman bin Abdulaziz, Prime Minister, Chairman of the Council of Economic and Development Affairs and Chairman of the Public Investment Fund (“PIF” or the “Fund”), today announced that the Fund will establish five companies aimed at investing in the Kingdom of Bahrain, the Republic of Iraq, the Hashemite Kingdom of Jordan, the Sultanate of Oman, and the Republic of Sudan. The announcement follows the launch of the Saudi Egyptian Investment Company (SEIC), a wholly owned PIF subsidiary, in August 2022. The six companies aim to invest up to a total of SAR 90 billion (USD 24 billion) in opportunities across various key sectors in each market.
The announcement comes on the second day of the 6th Edition of the Future Investment Initiative (FII), which is taking place in Riyadh, with the participation of leading investors, innovators, and world leaders.
The companies will invest in various key sectors, including but not limited to, infrastructure, real estate development, mining, healthcare, financial services, food and agriculture, manufacturing, telecoms, and technology, among other strategic sectors and industries in each country.
The establishment of the five new companies will contribute to an increase in regional investment opportunities for PIF’s portfolio companies and Saudi Arabia’s private sector, bolstering attractive financial returns over the long term, and creating more avenues for strategic economic collaboration with the private sector in the target countries as well as enabling the Saudi private sector.
These investments by PIF align with the Fund’s strategy, which includes seeking new investment opportunities in the Middle East and North Africa to build lasting strategic economic partnerships and achieve sustainable returns, grow PIF’s Assets Under Management, and diversify Saudi Arabia’s sources of revenue, while underscoring the objectives of Vision 2030.
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About PIF
The Public Investment Fund (“PIF” or the “Fund”) is one of the largest and most impactful sovereign wealth funds in the world. Since 2015, when the Board was reconstituted and oversight transferred to the Council of Economic and Development Affairs, the Fund’s board of directors has been chaired by His Royal Highness Crown Prince Mohammad bin Salman bin Abdulaziz Chairman of the Council of Economic and Development Affairs, and Chairman of the Public Investment Fund. The Fund plays a leading role in advancing the Kingdon of Saudi Arabia’s economic transformation and diversification, as well as contributing to shaping the future of the global economy. Since 2017, the Fund has established 58 companies and created, directly and indirectly, more than 500,000 jobs as at the end of 2021.
PIF is building a diversified portfolio by entering into attractive and long-term investment opportunities in 13 strategic sectors in the Kingdom of Saudi Arabia and globally. The Fund’s strategy, as set out in the PIF Program 2021-2025 – one of the Vision 2030 realization programs – aims to enable many promising sectors and contribute to increasing local content by creating partnerships with the private sector, in addition to injecting at least 150 billion riyals annually into the local economy. PIF works to transfer technologies and localize knowledge to build a prosperous and sustainable economy in the Kingdom of Saudia Arabia. As the investment arm of the Kingdom of Saudi Arabia, the Fund looks to make unique investments, and is building strategic alliances and partnerships with prestigious international institutions and organizations, which contribute to achieving real long-term value for the Kingdom in line with the objectives of Vision 2030. PIF has also created an operational governance model that reflects its main tasks and objectives, in line with best international practices. Applying this model of governance enhances the level of transparency and effectiveness in decision-making and future progress.
More information about PIF can be found at www.pif.gov.sa
