Saudi’s Public Investment Fund launches 5-year strategy; assets treble to $400bn

Saudi Arabia’s Public Investment Fund (PIF) has launched its five-year strategy, including its Vision Realisation Programme (VRP) 2021-2025.

Following on its VRP 2018-2020, the strategy will ensure PIF 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 Mohammad bin Salman Al-Saud, Crown Prince, Deputy Prime Minister, and chairman of the Council of Economic and Development Affairs and chairman of PIF.

The chairman of PIF said the strategy will act as a roadmap for the fund in the coming five years as it helps to realise the kingdom’s Vision 2030. Among the most important initiatives, PIF will invest a minimum of $40bn annually in domestic projects and investments, contribute $320bn to non-oil GDP cumulatively through its portfolio companies, grow assets under management to over $1.07 trillion, and create 1.8 million direct and indirect jobs by the end of 2025.

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.

Yasir Al-Rumayyan, governor of PIF, said; “Over the last four years, PIF has demonstrated its important role in contributing to the kingdom’s economy, in line with the ambitions of Vision 2030. Up to the end of 2020, we tripled assets under management to nearly $400bn, create 10 new sectors and generate 331,000 direct and indirect jobs.

“And as part of our strategy, we will continue to drive the economic transformation of Saudi Arabia and enable the private sector. We also partner with innovative, transformative and disruptive companies around the world to consistently serve as an important catalyst for the development of the industries and opportunities of the future. Core to our strategy is our focus on funding new human futures by improving quality of life, driving environmental and economic sustainability, and developing new sectors and jobs.”

In December last year, PIF overhauled some of its top management in preparation of a greater role in the local economy.

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