Future Investment Initiative in Riyadh Charts Pathways for Global Economies

CEO of the Future Investment Initiative Foundation Richard Attias addresses the conference. (Asharq Al-Awsat)
CEO of the Future Investment Initiative Foundation Richard Attias addresses the conference. (Asharq Al-Awsat)
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Future Investment Initiative in Riyadh Charts Pathways for Global Economies

CEO of the Future Investment Initiative Foundation Richard Attias addresses the conference. (Asharq Al-Awsat)
CEO of the Future Investment Initiative Foundation Richard Attias addresses the conference. (Asharq Al-Awsat)

Influential global figures in finance and business convened in Riyadh for the eighth edition of the Future Investment Initiative conference, under the patronage of Custodian of the Two Holy Mosques King Salman bin Abdulaziz, to discuss the shifting pathways of the global economy.

Dubbed “Davos in the Desert,” the event is expected to generate $28 billion in deals, adding to the $125 billion transacted over the past seven years.

Held over three days under the theme, “The New Compass for Investing,” the conference brings together over 7,000 participants and 600 international speakers.

Taking place shortly before the US presidential election, the event draws global attention to potential impacts on the world’s largest economy. It serves as a forum for discussing pressing issues such as low interest rates, oil prices, and advancements in artificial intelligence.

The forum also represents a stage for global corporations to announce new offices in Riyadh. Saudi Arabia has surpassed its Vision 2030 target with 540 international companies now establishing regional headquarters in the capital, as revealed by Minister of Investment Khalid Al-Falih.

Among them is Goldman Sachs, which has opened a new office in King Abdullah Financial District. Barclays is also considering re-entering the Saudi market to support the kingdom’s growing access to international capital markets.

Regionally, Jassim Al-Budaiwi, Secretary-General of the Gulf Cooperation Council (GCC), told Asharq Al-Awsat that GCC sovereign wealth funds hold 33% of global investments, with total external investments exceeding $3.2 trillion.

Al-Budaiwi emphasized Saudi Arabia’s increasing influence and credibility in both regional and global arenas, noting that the presence of top global investment firms and high-ranking officials, including presidents and ministers, underscores Saudi Arabia’s pivotal role in attracting investment to the GCC and beyond.

In one panel session, Egyptian Prime Minister Mostafa Madbouly discussed major advancements in energy, particularly the Saudi-Egyptian electrical interconnection project, which aims to generate 3,000 megawatts across two phases.

He highlighted strong collaboration between Saudi Arabia and Egypt in transport and port connectivity, with both nations aspiring to become regional hubs for logistics and supply chains.

“I am closely following Vision 2030’s achievements due to our shared interests and goals,” Madbouly stated.

Additionally, Dr. Manar Al-Munif, CEO of Investments at NEOM, shared that over 3,000 contracts have been signed for more than $60 billion in total.

She underscored NEOM’s impressive progress, with Sindalah Island opening as its first destination, offering visitors a preview of the transformative project.

Al-Munif stressed the importance of private sector involvement and highlighted NEOM’s pioneering efforts in green hydrogen, which is set for export by early 2026. Rapid development continues, with nearly 500 kilometers of roads and 350 kilometers of fiber optics completed, and the industrial zone now connected to NEOM Bay Airport.



Saudi Budget Shows Continued Government Spending on Mega-Projects

King Abdullah Financial District in Riyadh (Asharq Al-Awsat)
King Abdullah Financial District in Riyadh (Asharq Al-Awsat)
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Saudi Budget Shows Continued Government Spending on Mega-Projects

King Abdullah Financial District in Riyadh (Asharq Al-Awsat)
King Abdullah Financial District in Riyadh (Asharq Al-Awsat)

Saudi Arabia’s third-quarter budget results this year reflect the government’s commitment to boosting spending on mega-projects while working to increase revenue and contain the budget deficit.
Saudi Finance Minister Mohammed al-Jadaan stressed that managing the deficit is a key priority. He outlined strategies to ensure sustainable debt management, including directing debt to high-return sectors and attracting domestic and foreign investments.
The Ministry of Finance reported a budget deficit of SAR 30.23 billion ($8.06 billion) in the third quarter, down 15.6% from the same period last year. This brought the total deficit for the first nine months of the year to SAR 57.96 billion.
Government Spending and Revenues
Government revenues grew 20% in the third quarter to SAR 309.21 billion ($82.4 billion), while spending rose 15% to SAR 339.44 billion.
Non-oil revenues increased 6% year-on-year to SAR 118.3 billion, though they were 16% lower than in the previous quarter. Oil revenues climbed 30% year-on-year to SAR 190.8 billion but dropped 10% from the second quarter.
As of the third quarter, Saudi Arabia’s actual revenues for 2024 reached SAR 956.233 billion ($254.9 billion), a 12% rise from 2023.
Saudi Arabia’s spending topped SAR 1 trillion ($266.6 billion) by the end of the third quarter, a 13% increase from SAR 898.3 billion ($239.5 billion) a year earlier. The budget deficit for this period reached SAR 57.96 billion ($15.4 billion).
Saudi Budget Outlook and Reserve Update
The Kingdom’s Finance Ministry expects 2024 revenues to reach SAR 1.172 trillion ($312.5 billion), slightly below last year’s SAR 1.212 trillion ($323.2 billion). Expenditures are projected at SAR 1.251 trillion ($333.6 billion), with a budget deficit of SAR 79 billion ($21 billion), close to last year’s SAR 80.9 billion ($21.5 billion). By the end of the third quarter, the general reserve balance stood at SAR 390 billion ($104 billion), with the current account at SAR 76.7 billion ($20.4 billion) and public debt at SAR 1.157 trillion ($308.7 billion).
Vision 2030 Projects, Economic Reforms
Shura Council member Fadhel al-Buainain attributed the spending increase to Vision 2030 projects and social welfare programs, noting a 6% rise in non-oil revenues and a 16% boost in oil revenues.
He stressed that these gains contribute to financial stability and diversification efforts.
Enhanced Services and Growth Sectors
Dr. Mohammed Makni, Assistant Professor of Finance & Investment at Imam Muhammad ibn Saud Islamic University, highlighted the government’s focus on improving health, education, and quality of life, which are part of Vision 2030 goals impacting citizen services.
Speaking to Asharq Al-Awsat, Makni explained that Saudi Arabia’s recent expansionary spending aims to complete Vision 2030 projects.
He added that the third-quarter budget reflects positive growth across oil and non-oil activities, which have boosted revenues.
Economist Dr. Mohammed al-Qahtani pointed out that non-oil sectors and efficient spending helped reduce the third-quarter deficit.
He cited strong growth in tourism, culture, and entertainment as key contributors to non-oil revenues. Al-Qahtani expects continued improvement in the fourth quarter, especially if oil prices strengthen.