Fitch Ratings affirmed Public Investment Fund (PIF) at 'A+' with Stable Outlook, reflecting its unchanged assessment of 'Very Strong' status, ownership and control, support track record and socio-political implications of default, and 'Strong' financial consequences.
PIF Long-Term Foreign- and Local-Currency Issuer Default Ratings (IDR) at 'A+' with Stable Outlook.
The Agency noted that it leads to an overall government support score of 50 out of a maximum of 60, equalizing PIF's IDRs with those of Saudi Arabia.
The Saudi government recently transferred a total eight percent equity stake in Saudi Aramco during 2022 and 2023, with a four percent equity stake to PIF and a four percent equity stake to PIF's subsidiary, SANABIL.
The Agency noted that it was expected to bolster PIF's dividends base, underpinning further government support.
Fitch expects the government to waive PIF's dividend payment over the forecast period, as it aims to deploy more funds into PIF and subsidiaries to execute its policy mandate under Vision 2030.