Saudi Crown Prince Mohammed bin Salman stated that global economies are based on cities by 85%, and it is expected to reach 95% in the coming years. He pointed out that there are numerous investment opportunities in Saudi Arabia, with Riyadh contributing to 50% of the non-oil GDP of the Kingdom. Currently, the strategy for Riyadh is being finalized, aiming to increase its population between 15 to 20 million residents and to become one of the top 10 city economies in the world. This was discussed in a special interview with the Crown Prince during the Future Investment Initiative conference, conducted by former Italian Prime Minister Matteo Renzi, a member of the Board of Trustees of the Future Investment Initiative.
Crown Prince Mohammed bin Salman said: "We will launch strategies for all regions, starting with the strategy for the city of Riyadh, followed by Mecca, the Eastern Region, Asir, and other areas." He highlighted that Riyadh constitutes 50% of the non-oil economy in Saudi Arabia and houses about 30% of the population, with the cost of job creation being 30% lower than other regions in Saudi Arabia. Real estate development costs are also 29% lower than in other areas, complemented by excellent infrastructure capable of accommodating up to 20 million residents. King Salman bin Abdulaziz has been planning for Riyadh for 55 years, since its population was 150,000, which now stands at 7.5 million.
Therefore, Prince Mohammed continued: "Riyadh presents a significant opportunity for creating substantial economic growth for Saudi Arabia, as well as for industry, tourism, and the economy. We must pay attention to it as it is one of the pillars of the Saudi economy. All the characteristics of Riyadh create jobs, investments, and opportunities for growth, development, and progress. The strategy for Riyadh aims to position it among the top 10 city economies in the world, from its current rank of 40, and to make it one of the distinguished cities in tourism, services, and quality of life."
He mentioned that Riyadh is a key component of economic advancement in the Kingdom, as the focus is on population growth in Riyadh and NEOM, characterized by low-cost and easy growth, while in other areas, the focus is on enhancing quality of life, improving services, and exploiting tourism and natural resources.
The Crown Prince disclosed that the largest industrial city in the world will be announced in Riyadh, which already has an industrial city connected to all Saudi ports and all Gulf countries and ports, featuring many UNESCO registered sites, substantial capital, and almost world-class infrastructure.
He emphasized that creating distinguished service offerings in healthcare, education, and other sectors requires strong demand, which is the current focus. The capital needs improvements in infrastructure, facilitation of processes, and enhancement of quality of life, especially in education and the environment. There will be a park three times the size of Central Park in addition to hundreds of other parks, along with the Riyadh Green program, which will lower the city's temperature by 1 to 1.4 degrees Celsius and reduce dust levels. There are also plans for enormous reserves around the city to improve its environmental condition, along with forthcoming environmental projects across the Kingdom.
### Saudi Arabia Aims to Place Riyadh Among the Top 10 City Economies
Meanwhile, Crown Prince Mohammed bin Salman, who heads the Public Investment Fund, revealed four sources that will multiply the value of the Fund’s global assets from 1 trillion riyals (400 billion dollars) to 4 trillion riyals (1.1 trillion dollars). The first sources come from reassessing assets recorded at zero book value in the Public Investment Fund's records, such as lands for NEOM, the Red Sea Project, and Al-Ula, each equivalent in size to Belgium, as well as the Qiddiya project, which is half the size of Bahrain.
The second source for increasing the Fund's assets will come from new initial public offerings of Aramco shares on financial markets in the coming years, with the Fund re-investing the proceeds in domestic and foreign projects. The third: generating cash from the privatization of several assets and companies, with the proceeds allocated to the Fund. The last source represents the organic growth of the Public Investment Fund itself.
### Fourth Edition of the Conference
The Future Investment Initiative commenced its fourth edition on Wednesday in the Saudi capital, Riyadh, with widespread participation from prominent business figures and policymakers from the Middle East and the world. This event, referred to by economists as "Davos in the Desert," during its last three editions, has given rise to giant projects, the most notable being the NEOM project announced by Crown Prince Mohammed bin Salman during the first edition back in 2017, with investments exceeding 500 billion dollars.
Artificial intelligence was featured in the first edition when Saudi Arabia granted citizenship to robot Sophia, indicating the futuristic plans for NEOM, which will host such industries. Several agreements, memoranda of understanding, and partnerships were signed with various entities, including the SoftBank Vision Fund.
