Saudi Arabia requires $1 trillion in infrastructure investments over the next decade to support its rapidly expanding economy, Al Eqtisadiah newspaper reported on February 13.

Speaking at the PIF Private Sector Forum in Riyadh, Economy and Planning Minister Faisal Al-Ibrahim revealed that private sector contribution to the Saudi economy has reached 46%, rising to 65% when including PIF portfolio companies, up from 40% before Vision 2030's launch.

The Public Investment Fund is offering SAR40bn in investment opportunities to the private sector through its platform, according to PIF Governor Yasir Al-Rumayyan. These opportunities aim to stimulate investments across the entire value chain.

He said: “If you look at infrastructure mode, we expect the total required investment of the next seven to 10 years to be around $1 trillion, so PIF can’t do this alone."

“It will kick start, it will ignite, and it will set the example, set the tone, that will create a private sector that’s more dynamic, a stronger partner that can help us achieve this,” local media reported. 

“Today, the private sector is demanding longer-term plan, longer-term clarity in terms of what the government needs, clarity on what the objectives are for the economic transformation,” he noted, Arab News reported. 

“This is because they want to pivot and address these needs, and they want to develop the right capabilities for their institutions to capture these opportunities sustainably at the same time. Incentives today, driven by the by the government, are laser-focused on objectives,” he noted. 

Al-Ibrahim emphasised that PIF, while tasked with leading Vision 2030's implementation, cannot execute these investments alone.

The fund's role involves initiating, stimulating, and establishing models to create a more dynamic private sector capable of supporting government objectives.

The scale of investment aligns with Saudi Arabia's broader development agenda, with announced Vision 2030 projects valued at $1.3tn since 2016, according to Knight Frank data from September 2024.

The investment strategy comprises SAR5tn from public-private partnership initiatives under the Shareek programme, SAR3tn from PIF's domestic investments, and SAR4tn from diverse national and global corporate investments.

The minister stressed that success will be measured not just by reaching numerical targets, but by developing a truly independent private sector less reliant on government influence, supporting the kingdom's goal of increasing private sector GDP contribution to 65% by 2030.