Saudi Public Investment Fund launches a huge tourism project in the Gulf region
The Saudi Arabian Public Investment Fund announced the opening of the “The Rig” project in the Gulf area, calling it “the first tourism destination of its type in the world” and based on offshore oil rigs.
The fund, which oversees a $400 billion portfolio, is one of Saudi Crown Prince Mohammed bin Salman’s goals for economic change in the country. In recent years, it has expanded its capacities by utilizing a variety of financing sources.
According to the fund’s website, the project encompassed more than 150,000 square meters.
The project provides a wide range of tourism alternatives, including three hotels, a group of foreign restaurants, helipads, and a variety of activities and dangerous sports.
The project’s worth was not disclosed by the fund.
The Public Investment Fund is the Kingdom of Saudi Arabia’s sovereign wealth fund, created in 1971. It is one of the world’s largest sovereign wealth funds, ranking eighth with total assets of $430 billion.
It is focused on the funding of initiatives that are strategically important to the Saudi economy. The Kingdom of Saudi Arabia wants to turn the Public Investment Fund into one of the world’s largest sovereign funds by aiming to develop a diverse and innovative investment portfolio by investing in appealing local and international investment opportunities.
HISTORICAL EVOLUTION
By royal order M/24, the Saudi Public Investment Fund was formed in 1971 with the primary goal of supporting projects of strategic importance to the Saudi national economy. The Fund has been instrumental in financing critical projects for the Kingdom, including oil and mining, agriculture, infrastructure, fertilizers, petrochemicals, and electricity.
The Council of Ministers provided the Public Investment Fund the essential authority to fund new businesses both inside and outside the Kingdom, either independently or in collaboration with the private and public sectors, without requiring previous permission from the Council.
The Public Investment Fund’s jurisdiction was transferred from the Ministry of Finance to the Kingdom’s Council of Economic and Development Affairs in March 2015. The fund was then given a new board of directors, led by His Royal Highness Prince Mohammed bin Salman Al Saud, the Crown Prince of Saudi Arabia.
