Saudi Arabia to Unveil New Vision for $1 Trillion Public Investment Fund
WASHINGTON – Saudi Arabia’s Public Investment Fund (PIF) is poised to announce a new long-term strategy within the next two months, extending its investment horizon beyond its initial 2030 goals to 2040 and beyond. The announcement comes as the fund demonstrates significant growth, with internal returns climbing to 7.2% from a previous 2% and assets nearing $930 billion.
This strategic shift signals Saudi Arabia’s continued commitment to diversifying its economy away from oil and solidifying the PIF’s role as a key driver of national economic development. The updated strategy will outline how the fund intends to reach its enterprising targets – increasing its value to $1.075 trillion by year-end and exceeding $1 trillion before 2030 – while balancing financial returns with contributions to local job creation and GDP growth. The plan impacts global investment landscapes, potential partnerships, and the future of Saudi Arabia’s economic transformation.
Speaking at a symposium in Washington, a PIF representative detailed the fund’s evolving priorities. While returns remain a critical factor in investment decisions, the PIF is increasingly focused on sectors that bolster the Saudi economy and promote diversification.
The fund aims to grow its assets to at least $1 trillion before 2030, building on its current valuation of between $925 and $930 billion. this growth will be fueled by strategic investments designed to increase the local product and generate employment opportunities.During the same address, the PIF representative highlighted the operational efficiency of Saudi Aramco, noting its oil extraction cost ranges between $3 and $3.5 per barrel, a figure attributed to the company’s adoption of modern technologies, especially artificial intelligence. Aramco currently produces 10 million barrels per day, with a capacity to reach 12 million, and could increase production by 20% within days, contingent on further exploration.
