Saudi to measure state spending, increase private investment as it begins to draw $ 1bn – Minister Al-Falih
Saudi Arabia’s Minister Khalid Bin Abdulaziz Al-Falih said that the Kingdom is entering a new phase of its drive to diversify, from the use of government-led funds to CORTHER-CORDET drawn from growing confidence and self-confidence.
Speaking on the panel e Future investment step .
“Our unemployment has been reduced, our participation of women in the workforce has doubled,” he said, calling the change “multifaceted” and calling for a long-term strategy for the Kingdom.
“Our competitive edge is satisfied but most of it, or most of it, is related to the vision – a clear, long-term vision of the government, not just vision 2030,” he said. “People can predict where the Kingdom will be in 2030 and 2040. Our North Star is clear and does not say anything about the climate of what is happening.”
The Minister said that 50 percent of Saudi Arabia’s budget spending has been financed by non-oil revenues, marking a milestone in efforts to transform the economy away from hydrocarbons. “Non-government spending is no longer dependent on oil,” he said.
Al-Falih highlighted the currency’s strength and resilience in the face of geopolitical and economic turmoil. “Political conflicts don’t change where we go with the economy. We can withstand any shock and we can withstand many shocks – the drop in oil, regional tensions – and the government keeps stepping,” he said. “We have our deep pockets, PIF, MDF, a strong banking system that provides credit and investor ratings. In Saudi Arabia, something is certain.”
He said that government spending is now focused on the private sector and allows for large mature projects. “This is the time to say to the private sector: You have seen what we have promised you, it is time to use chains or PIFs to enter these chains and streams,” he said.
Al-Falih said Giga projects such as Neom, Red Sea, Ririyah Gate, and Qiddiya were now transitioning to the construction of operational phases. “Think of the Red Sea – Five places left. Ririyah Gate, we can see Cranes and tens of hotels getting ready to start. Qiddiya will be operational soon,” he said.
Looking ahead, Al-Falih said new areas of growth will be driven by technology and sustainability. “The most obvious is AI and digital acceleration and what we used to call the fourth industrial revolution,” he said. “The power is not to build the world’s most efficient data hub, the lowest AI here in the Kingdom but all the programs that come with it – and disruption in a positive way, not just.”
His comments were found in the Fii Presed Compass 2025 The report, which found that 89 percent of Saudi citizens believe that their country is headed in the right direction – among the highest levels in the world – compared to 9 percent in France. The report also highlighted that optimism in the Global South is rising, with 76 percent of respondents around the world saying their lives are fair, up 16 points from last year.
The survey, conducted by the Fii Institute and Ipsos in 32 countries, found that the cost of living and job security remain global problems but also noted that citizens in emerging markets are more optimistic about their economies.
Saudi Arabia’s Proactive Push for technology, green energy, and industrial heating chains – including its new “greensshoring” program to attract global production – reflects this shift in global sentiment.
“The Kingdom is facing a trend where the world is going,” said Al-Falih. “We are building industrial cities, creating special economic zones, and ensuring that private companies lead the next phase of growth.”
