Highlights:
• A tripling in the growth of PIF assets over a decade
• The Fund will end this year approaching a near $1 trillion in assets
• PIF as an institution at the heart of the Kingdom’s Vision 2030
• A force of economic transformation at home and abroad
PIF assets growth is one of the greatest achievement stories of that transformation.
The Public Investment Fund, since 2015, has nearly tripled the value of its assets, heading for a $1 trillion mark by the end of 2023. This is another mark of the strength of the Saudi economy and the success of capital market ideas and strategy….
PIF, the Public Investment Fund, under Governor Yasir Al-Rumayyan, is a core engine of the Vision 2030 agenda. Since the Crown Prince launched the strategy in 2015, the fund has seen its value grow from that time of about $150 billion to now as it approaches $900 billion, demonstrating the success in turning the PIF into a key institution that has really changed the model of the Saudi economy and repositioned the Kingdom at the forefront of the global finance and investment sector.
Creating an economic powerhouse
At the PJT Partners Global Capital Advisors Conference, Yasir Al Rumayyan of the Public Investment Fund described how his institution transformed into a truly global powerhouse and player. PIF is a world leader, and its journey from private oasis to major player is one of domestic reinvention and transformation. PIF heavily focused on building systems, governance, and attracting human capital investment to enable it to evolve from being Saudi Arabia’s domestic financing institution to one of the biggest sovereign wealth funds in the world. Al-Rumayyan asserted that this remodeling necessitated the implementation of international best practices and keeping track of how other premier funds are performing to chart the course for PIF’s structure and objectives.
The revamping “enhanced” its capacity to deliver enormous investments in a slew of sectors, including renewable energy, logistics to technology.
We are fully aware that it occupies a unique space and is at the core of PIF’s DNA
PIF “transformed” into a key vehicle for investment in any asset class with the overwhelming objective of generating value for local and global partners and closely connecting with the goals of Saudi Arabia’s ambitions.
The enhancements add to the fund’s prowess in spinning money-spinning opportunities across its vast remit and continuing to further empower efforts to advance Vision 2030 across the Kingdom.
Implementation Progress and Vision 2030
The fund’s evolution is succinctly “In the past few decades, Saudi Arabia has made phenomenal leaps in the area of investments and implementation in accordance with Vision 2030,” namely.
Saudi Vision for 2030 aimed to diversify the economy beyond oil and create a sustainable, vibrant society.
“On top of that, we have invested in multiple domestic companies, namely SABIC, which is of “great essence to industrialization”. Saudi Arabia Railways, which is key to transport expansion, and we envision the fund evolving into a pillar of Saudi Arabia’s economy. The expanded PIF is the diversified aspect where our net assets grow from new messages sent to the investor community.
Globally, the tremendous growth and its rising influence across the globe are illustrated in its partnerships and participation in huge value deals. From renewable power generation to advanced infrastructure, the investments are positioning Saudi Arabia for the future in a maturing economy.
Going beyond oil — PIF a Global Player
By 2025, PIF should have made roughly 1,000 projects investing in multiple fields from entertainment and tourism to Cleaner Technology. Its fresh undertakings in artificial intelligence, digital infrastructure, and mobility are major investments along with an informed sense to adapt to global trends. PIF net assets are approaching the trillion-dollar mark; more is expected, and it will be a feature beyond our wildest dreams.
We have that one player H-E with a huge amount of International seen as a real indication that we are an emerging voice and contributor in global funds.
Saudi Arabia will continue, most probably, to entertain not only the region but the entire world with their upcoming investments & achievements. These are not only short-term thinking business moves. As we can all see, they are back, and they think big and long-term putting the Kingdom back on everyone’s lips.
