Asharq Al-awsat English Middle-east and International News and Opinion from Asharq Al-awsat Newspaper

Economists Confirm New PIF Strategy to Develop Local Content, Generate Quality Jobs

Economists Confirm New PIF Strategy to Develop Local Content, Generate Quality Jobs

Tuesday, 26 January, 2021 - 12:15
Saudi Arabia’s Public Investment Fund (PIF) launches its five-year strategy | Asharq Al-Awsat

Saudi Arabia’s Public Investment Fund (PIF) has launched its five-year strategy which will ensure that it continues to grow as a global investment partner of choice for innovative and transformative businesses.

The five-year strategy was approved during a recent PIF board meeting chaired by Saudi Crown Prince Mohammad bin Salman, who also chairs the Council of Economic and Development Affairs and PIF.

“The most important aspect of the strategic focus in amending the Saudi economic structure is raising the percentage of local content to 60% in PIF’s projects and companies during the next five years,” Saudi economist Ahmed Al-Shehri told Asharq Al-Awsat.

“On a global level, the fund is seeking to develop its assets and to establish its position among the largest sovereign wealth funds in the world,” Shehri added.

PIF, according to Shehri, will achieve this by becoming the world’s favorite investment partner and securing access to quality investment opportunities.

Raising the levels of local content will also help create qualitative jobs for citizens and boost competitiveness among national companies, he noted.

“Saudi Arabia depends on its general budget and PIF to finance its economic transformation according to an internal and international diversification strategy. Therefore, the recently released strategy is part of the programs emanating from Kingdom Vision 2030,” Shehri said.

PIF’s performance growth has resulted in a wide range of initiatives and programs on a qualitative and comprehensive basis, economic analyst Abd al-Rahman Ahmad al-Jubeiri told Asharq Al-Awsat.

Expanding the fund’s capabilities and performance will lead to increased economic activities and growth, he added.

Jubeiri confirmed that PIF’s new strategy is consistent with the goals and objectives set by Kingdom Vision 2030.

“It is based on the foundations of a balanced methodology and the development of resources and wealth,” he explained, adding that the new strategy significantly contributes to achieving economic prosperity and improving the quality of life in Saudi Arabia.

PIF will focus on 13 sectors as part of its core domestic strategy: healthcare; utilities and renewables; telecoms, media, and technology; food and agriculture; automotive; transport and logistics; real estate; aerospace and defense; construction and building components and services; entertainment, leisure, and sports; financial services; metals and mining; and consumer goods and retail.

Editor Picks