India's L&T awaits $6.4 billion renewable hydrogen energy facility in NEOM: MEED - Arab News

India’s L&T awaits $6.4 billion renewable hydrogen energy facility in NEOM: MEED – Arab News

With 500,000 jobs and 50 new businesses, PIF Saudi Arabia is finding a place in the sun

RIYADH: When Saudi Arabia announced its Vision 2030 in 2016, which aims to accelerate the growth of the non-oil sector, skeptics doubted that a country that had relied heavily on oil-based revenues for many decades would implement it perfectly.

Six years later, the progress made by the state in the non-oil sectors indicates that the kingdom is moving forward in the right direction, primarily driven by the efforts of the Public Investment Fund, which is always working to maximize its assets for the Saudi economy.

As part of the Public Investment Fund’s 2021-2025 strategy, it is driving new economic and business opportunities in the Kingdom and reshaping the face of Saudi Arabia globally.

fueling employment

The Public Investment Fund is currently one of the largest and most influential sovereign wealth funds in the world, with total assets under management around $620 billion.

Since 2016, the Public Investment Fund has established 50 companies, including the recently launched Saudi Coffee Company, and these companies have collectively provided more than 500,000 direct and indirect jobs.

fastReality

From real estate and infrastructure to recycling and clean energy, the Public Investment Fund has distinguished itself in 13 strategic sectors and aims to create more jobs in the coming years.

From real estate and infrastructure to recycling and clean energy, the Public Investment Fund has distinguished itself in 13 strategic sectors and aims to create more jobs in the coming years.

The Public Investment Fund established these companies to directly benefit the private sector and Saudi citizens as they generate wealth and new job opportunities. Some notable examples include the mega projects owned by the Public Investment Fund, namely NEOM, The Red Sea Development Company, Qiddiya and Roshan.

The Public Investment Fund has also set up entities such as the National Security Services Company, the Saudi Arabian Military Industries Company and the Suda Development Company.

growth acceleration

Furthermore, many PIF-owned companies have signed contracts with private sector companies, which have helped accelerate growth in the broader economy.

For example, the Red Sea Development Company has signed more than 800 local and international contracts worth over $5.3 billion as of April 2022.

ROSHN Real Estate Company, a subsidiary of the Public Investment Fund, signed a contract with Retal Arabia to help develop the Sidra community project in Riyadh.

Last December, Qiddiya Investment Company awarded a $1 billion Saudi-French joint venture to build the Six Flags Qiddiya entertainment site.

Mohamed Al-Suwaid, CEO of Razin Capital, a securities advisory firm, told Arab News.

The fund has invested more in several sectors than any other regular investment fund, and we will see the fruits of these investments this year and in 2030

Mohamed Al-Suwaid, CEO of Razeen Capital

an oasis of opportunity

Meanwhile, the Public Investment Fund has also created a new division specifically tasked with ensuring national growth and maximizing investment returns. The fund aims to expand opportunities for Saudi companies, improve the local supply chain and increase the contribution of local content to 60% by 2025.

The Public Investment Fund is working with a partner program, led by Saudi Crown Prince Mohammed bin Salman, to create public-private partnerships.

The Public Investment Fund is also looking to increase the private sector’s contribution to the national GDP to 65 percent and open national investments worth $1.33 trillion by the end of this decade.

The Public Investment Fund will develop 70 percent of renewable energy in the Kingdom in line with Vision 2030

Governor of the Public Investment Fund, Yasser Al-Rumayyan

Green Lighting Sustainability

Recognizing the need to protect the environment, the Public Investment Fund invests in many green projects to achieve the environment, society and governance goals of Vision 2030.

The Public Investment Fund plans to plant 10 million trees and launch a national renewable energy program to increase the share of renewable energy in the Kingdom.

“The Public Investment Fund will develop 70 percent of renewable energy in the Kingdom in line with Vision 2030,” said Governor of the Public Investment Fund Yasser Al-Rumayyan.

He added that the Public Investment Fund’s recent investments in sustainable companies such as ACWA Power and Lucid Motors show how the fund is working towards a sustainable future.

Al-Rumayyan stressed the importance of the PIF’s regional voluntary carbon market in helping the Kingdom achieve its goal of zero carbon emissions by 2060.

The VCM is the first of its kind in the MENA region and will help companies reduce carbon emissions by offsetting carbon emissions.

VCM is expected to launch in 2023, and five leading Saudi companies have already signed on as founding partners – Aramco, Saudi Arabia, ACWA Power, Ma’aden and Inowa, a subsidiary of NEOM.

The Public Investment Fund also launched the Sudair Solar PV project, the first project under the fund’s renewable energy program. This solar project, when completed, is expected to meet the energy needs of 185,000 homes in the Kingdom.

A force to be reckoned with

Since 1971, the PIF’s glorious journey has witnessed how a country’s sovereign fund can be used wisely and effectively to improve its economy and the living conditions of the common people.

With its huge investments, the Public Investment Fund has emerged as a key player in the international economic sector, and it also facilitates diversification and knowledge transfer within the Kingdom.

As the Public Investment Fund progresses in taking Saudi Arabia to new heights, several massive initiatives can be seen that could revolutionize the quality of living of people in the country in the future.

#Indias #awaits #billion #renewable #hydrogen #energy #facility #NEOM #MEED #Arab #News

Leave a Comment

Your email address will not be published.