PIF Prioritizes Local Investments, To Cut Foreign Holdings: Al-Rumayyan

Yasir Al-Rumayyan, Governor of the Public Investment Fund (PIF), said the fund has invested in major Saudi projects such as NEOM, Red Sea, Qiddiya and others over the past few years. Some projects already started commercial operations, Al-Rumayyan said in his speech at the Future Investment Initiative (FII) summit held in Riyadh.

He added that foreign holdings increased from 2% to 30%, indicating that the fund aims to reduce this percentage to 18-20% from the assets under management that exceed $900 billion. The Governor stressed that the Saudi economy is among the fastest-growing in the world, ranking as the fastest-growing economy within the G20 in 2022.

Saudi Arabia will likely continue to lead in growth among G20 nations, Al-Rumayyan said. He highlighted that the PIF is currently focusing on the local economy, establishing over 92 new companies to invest in major sectors. The FII has contributed to deals worth over $125 billion since its launch, Al-Rumayyan said, noting that global challenges such as economic instability, rising cost of living, and healthcare disparities open new pathways for progress.

"We have the responsibilities and opportunities to shape a future that invests not only in the economy but also in humanity itself," Al-Rumayyan said, emphasizing the importance of focusing on long-term sustainable investments for creating a lasting impact. "As investors, we should prioritize sectors that drive transformation, including next-generation green energy technologies, healthcare innovations, and youth engagement through sports," Al-Rumayyan noted.

He stressed that Saudi Arabia stands as a super connector with its unique resources and strategic geographic location, enabling it to invest in critical areas like energy infrastructure and technology. "While returns remain important for today, we recognize that economic, social, and environmental outcomes should be interconnected, and these should be the core for our decision-making," the Governor said.

By 2030, emerging markets are expected to outpace developed markets, Al-Rumayyan said, underscoring the need for strategic investments in places that will drive the global economy. He added that artificial intelligence (AI) alone could add $20 trillion to the global economy by 2030, transforming industries, boosting productivity, and addressing critical challenges. By 2027, AI's role as an economic engine will be a benchmark for national power, Al-Rumayyan noted.