Today, Prince Mohammed bin Salman bin Abdulaziz, the Crown Prince, Deputy Prime Minister, and President of the Council of Economic and Development Affairs, launched the National Investment Strategy, which is one of the main enablers to achieve the goals of Vision 2030. The National Investment Strategy represents a crucial enabler to meet the objectives of Vision 2030, which the Crown Prince summarized when the vision was launched by stating, "Our country possesses enormous investment capabilities, and we will strive to make it a driver for our economy and an additional resource for our country."
He added that the Kingdom aims to invest the strengths that God has bestowed upon it, from a distinguished strategic location, a leading investment force, and deep Arab and Islamic ties. The National Investment Strategy will contribute to the growth of the national economy and diversify its sources, achieving many of the goals of Vision 2030, including raising the contribution of the private sector to GDP to 65%, enhancing foreign direct investment to account for 5.7% of GDP, increasing the share of non-oil exports from 6% to 50% of total non-oil GDP, reducing the unemployment rate to 7%, and advancing the Kingdom into the top ten positions in the Global Competitiveness Index by 2030.
On the occasion of launching the National Investment Strategy, Prince Mohammed bin Salman remarked: "Today, the Kingdom begins a new investment phase based on our success in increasing the number and quality of opportunities for local and international investors; we will enable the private sector and provide it with massive opportunities. There is no doubt that investment is one of the means that will help us fulfill the aspirations of Vision 2030, including the development and diversification of the economy, its sustainability, technology transfer and localization, infrastructure development, improving the quality of life, providing job opportunities, and refining the skills of our human resources and enhancing their capabilities, leaving a legacy of prosperity for future generations."
The Crown Prince explained: "The National Investment Strategy focuses on empowering investors, developing and providing investment opportunities, providing financial solutions, and enhancing competitiveness. It also contributes to increasing the effectiveness of the partnership between the government and the private sector, as our mission now is to open doors for the private sector, allowing it to produce, grow, and prosper."
### Investment Plans
Prince Mohammed bin Salman confirmed that the next phase of the National Investment Strategy includes developing detailed investment plans for sectors such as industry, renewable energy, transport and logistics services, tourism, digital infrastructure, and healthcare. He clarified that achieving the Kingdom's ambitious investment goals will require the concerted efforts and participation of multiple entities, such as the Public Investment Fund, to invest in the Kingdom according to its strategy, and the contribution of the private sector, particularly major Saudi companies, through the "Partner" program, in addition to other private and foreign investments.
He stated: "We take pride today in what the Kingdom of Opportunities has achieved remarkable accomplishments under the leadership of the Custodian of the Two Holy Mosques, King Salman bin Abdulaziz Al Saud, during the first phase of implementing Vision 2030. We will continue to work towards a bright future, bolstered by a diverse and sustainable economy, and this strategy forms one of the tributaries to achieve that. We are confident, with God's grace, in our capabilities to reach our ambitious goals and the aspirations of our great people."
### Sustainable Development
The Crown Prince noted that investment is a fundamental and pivotal element in the economic growth and sustainable development system under the umbrella of Vision 2030. Consequently, investments exceeding 12 trillion riyals will be injected into the local economy by 2030 (5 trillion riyals from the initiatives and projects of the Partner program, 3 trillion riyals from the Public Investment Fund allocated for domestic investments, and 4 trillion riyals from investments by national and global companies under the National Investment Strategy). Furthermore, the economy will receive around 10 trillion riyals from government spending through the state's general budget over the next ten years, and another 5 trillion riyals from private consumer spending over the same period, bringing total spending to approximately 27 trillion riyals by 2030 (equivalent to about 7 trillion dollars).
Specifically, the National Investment Strategy aims to raise net foreign direct investment flows to 388 billion riyals annually and increase domestic investment to about 1.7 trillion riyals annually by 2030. By achieving these targets, the investment-to-GDP ratio in the Kingdom is expected to rise from 22% in 2019 to 30% in 2030, contributing to the growth of the Saudi economy to become one of the top 15 economies in the world.
This strategy will advance investment in the Kingdom at a higher pace and faster strides by improving the investment environment, increasing its attractiveness and competitiveness, implementing substantial corrective measures at the regulatory and legislative levels, identifying and developing investment opportunities for investors, providing packages of incentives for quality investment projects, attracting regional headquarters of global companies to the Kingdom, and supporting the investments and operations of national companies to enhance their international standing and enable them to establish and entrench their investments, products, and services in regional and global markets efficiently and competitively.
In this context, the strategy complements the programs of Vision 2030 that have been previously announced, of which investment is an essential part, such as the Public Investment Fund Program, the National Industry and Logistics Development Program, the Privatization Program, the Financial Sector Development Program, and the Quality of Life Program, among other national strategies.
It is noted that the National Investment Strategy includes establishing comprehensive governance to oversee its implementation through the High National Investment Committee, chaired by the Crown Prince, which will set and approve incentives for quality investments and identify and develop investment opportunities. The strategy also includes several initiatives, such as creating special economic zones with competitive regulations and attractive incentives for investments in priority sectors; a program to relocate strategic supply chains to the Kingdom and capture a market share in the components of supply chains; financial initiatives that include developing new financing solutions for the private sector to enhance capital formation; and also the development of the "Invest in Saudi Arabia" platform as the national platform for showcasing and marketing available investment opportunities in the Kingdom.
