Tuesday, 16 November 2021

#SaudiArabia's race to attract investment dogged by scepticism | Reuters

Saudi Arabia's race to attract investment dogged by scepticism | Reuters

Saudi Arabia could have a credibility problem if it keeps shifting the goal posts for the amount of foreign investment it wants to turn its vision of a future beyond oil into a reality, financial sources and analysts said.

Five years since Crown Prince Mohammed bin Salman launched Vision 2030 to end the kingdom's dependence on fossil fuels, foreign direct investment (FDI) remains well short of targets.

When Riyadh unveiled the plan in 2016, it aimed to boost annual FDI to nearly $19 billion by 2020 from $8 billion in 2015, but last year it was just $5.5 billion. The longer-term goal was for FDI to hit 5.7% of gross domestic product (GDP) by 2030, though Riyadh did not give a dollar target.

Now the kingdom has raised the stakes again, saying it wants $100 billion in annual FDI by 2030, a new goal that many analysts consider overambitious.

No comments:

Post a Comment