Public Investment Fund and private sector partnership to support Vision 2030
The Public Investment Fund (PIF) and Private Sector Forum continues to solidify its position as one of the most important strategic economic platforms in the Kingdom of Saudi Arabia, playing a pivotal role in strengthening partnership and integration between the public and private sectors. This economic momentum comes at a crucial time, as the Kingdom’s Vision 2030 aims to achieve significant leaps in the structure of the national economy, with a clear ambition to raise the private sector’s contribution to GDP to 65% by 2030, reflecting a fundamental shift in the Kingdom’s economic management philosophy.
A key driver of economic diversification
The Public Investment Fund (PIF) is now considered one of the most influential and powerful investment entities on the global stage, not only because of the size of its assets under management, but also because of its leading role in directing investment towards new and promising sectors that were previously absent from the Saudi market. The Fund contributes directly to reshaping the local and global economy by launching vital sectors such as tourism, entertainment, renewable energy, and technology, thus supporting the economic transformation and reducing traditional reliance on oil revenues.
Record numbers in supporting local content
In recent years, the PIF's role in supporting local content growth has become increasingly prominent through a comprehensive suite of programs and initiatives, most notably the "Musahama" program. The latest data indicates that by the end of 2024, 57% of the fund's total expenditure, along with that of its portfolio companies, was allocated to serving local content. This figure reflects not merely financial spending, but a profound strategy for localizing industries, transferring knowledge, and expanding local participation in major projects, thereby creating quality job opportunities and enhancing the efficiency of national supply chains.
Empowering the private sector and building a sustainable economy
As part of its five-year strategy, the Public Investment Fund (PIF) is working to stimulate investment and accelerate economic transformation, placing the private sector at the heart of its development projects as a key partner, not merely a contractor or supplier. This approach aims to develop competitive and innovative sectors and value chains capable of competing regionally and internationally, in addition to building national capabilities that contribute to expanding growth opportunities and achieving a sustainable economic impact that ensures the well-being of future generations and strengthens the resilience of the Saudi economy in the face of global changes.
