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The Economy of Saudi Arabia

The Public Investment Fund and Giga-Projects

The PIF, a sovereign wealth fund, invests in domestic mega projects and global assets, driving much of the diversification effort.

The state is the main investor.

PIF

It holds hundreds of billions of dollars in assets, with stakes in companies at home and abroad.

NEOM

A planned futuristic region in the northwest, including a linear city called The Line.

Other projects

The Red Sea resort development, Qiddiya entertainment city and Riyadh’s expansion.

Scrutiny

Costs, feasibility and timelines are debated, and some plans have been scaled back.

A futuristic plan

The Line proposes a very long, narrow city, but progress has been slower than first announced.

Assuming mega projects always succeed

They carry high risk.

Key takeaways
  • The PIF is a sovereign fund.
  • NEOM is a flagship project.
  • Other projects are underway.
  • Feasibility is debated.
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