RIYADH: Saudi Arabia’s sovereign fund, the Public Investment Fund (PIF), has made significant strides in bolstering the country’s employment figures, creating a staggering 180,000 jobs in 2022. The impressive feat was achieved through the establishment of 25 new companies, contributing to the kingdom’s economic growth and diversification.
The PIF’s 2022 annual report, released on Sunday, highlighted its successful launch of diverse companies, including Saudi Coffee Co. and Halal Products Development Co. These ventures, along with others, have significantly impacted the nation’s economy, enabling tangible and rapid progress as the country continued to recover from recent disruptions.
The sovereign fund’s assets under management surged by 12.8 percent, reaching SR2.23 trillion ($595 billion) in 2022, compared to SR1.98 trillion in 2021. The robust financial foundation established by the PIF facilitated proactive investment decisions that drove transformational change across the Kingdom.
Saudi Sovereign Fund’s Financial Strength
PIF Gov. Yasir Al-Rumayyan emphasized the fund’s enduring financial strength, which allowed them to identify and seize key investment opportunities that deliver sustainable growth for Saudi Arabia. With an ambitious target, the PIF aims to increase its assets under management to SR4 trillion by 2025, demonstrating its commitment to driving economic progress and prosperity in the nation.
The report revealed that Saudi Equity Holdings accounted for 32 percent of the fund’s total assets under management at the end of 2022. Additionally, the PIF made significant international investments worth SR512 billion, while its local assets stood at SR1.71 trillion.
The PIF’s pivotal role in driving Saudi Arabia’s Vision 2030 goals was highlighted in the annual report. By effectively connecting Saudi companies from various key sectors with the nation’s strategic priorities, the fund acts as a catalyst for positive change and a crucial driver for realizing the Vision’s objectives.
Furthermore, the report showcased the PIF’s substantial investment in NEOM, the future megacity under development in Saudi Arabia’s northwestern Tabuk province. Until 2022, the fund injected SR25.5 billion into the ambitious project, further solidifying its commitment to advancing major development initiatives within the country.
The PIF’s dedication to collaboration with the private sector was reiterated by Al-Rumayyan during the Private Sector Forum in Riyadh. As an investor and partner, the fund seeks to enhance the role of the private sector, recognizing it as a strategic and vital contributor to the thriving Saudi economy.
Looking ahead, the PIF is determined to create high-quality job opportunities, aiming to generate 1.8 million such jobs in the coming years. By prioritizing both quantity and quality, the fund aims to foster sustainable economic growth, further enhancing Saudi Arabia’s position as a global business and investment destination.
