Saudi Wealth Fund Shifts Focus amid Global Economic Challenges

Saudi Arabia's sovereign fund plans to cut its overseas investments by a third to boost domestic growth. The Public Investment Fund aims to bring international investments down to 18-20% as part of a strategy to diversify the economy from oil dependency. Rising project costs drive investment shifts.


Devdiscourse News Desk | Updated: 29-10-2024 17:23 IST | Created: 29-10-2024 17:10 IST
Saudi Wealth Fund Shifts Focus amid Global Economic Challenges
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Saudi Arabia's sovereign wealth fund is set to reduce its overseas investments by about a third, as revealed by its governor at a recent conference in Riyadh. The move aligns with the Kingdom's strategy to pivot the economy away from oil dependency.

This strategic shift was discussed at the Future Investment Initiative, which gathers global industry leaders to explore investment opportunities. The sovereign fund, valued at $925 billion, plays a pivotal role in diversifying Saudi Arabia's economy and testing investor confidence amid regional tensions.

Despite scaling back some flagship projects due to cost increases, the fund is turning towards joint ventures with local and international businesses. This marks a shift in investment strategy and aligns with plans to increase corporate activities globally.

(With inputs from agencies.)

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