Saudi Arabia has more than SAR240 billion ($64 billion) of logistics projects underway and planned, most of which are open to private sector investment, a government minister has said.
This includes airport management, highway construction and seaport projects, transport minister Saleh Al-Jasser told a government-backed investment conference in Riyadh this week.
Private sector investment and participation in the economy are crucial to Saudi Arabia’s dreams of diversifying its economy away from oil, and developing other sectors including tourism, technology and manufacturing.
“The private sector is a great partner in realising the achievements of the logistics sector,” Al-Jasser said at the Private Sector Forum, a Saudi Public Investment Fund (PIF) event in Riyadh aimed at encouraging private sector activity in the kingdom.
The private sector’s share of GDP stands at around 46 percent now, economy minister Faisal Alibrahim said at the same conference, but it has a way to go to reach the kingdom’s Vision 2030 target of 65 percent.
By value, 80 percent of the logistics projects are open to private sector investment as Saudi Arabia seeks to become a “regional logistics hub”, Al-Jasser said.
Open participation includes the management of four airports; Abha International Airport, which is in the final bidding stage; Taif International; Prince Naif bin Abdulaziz International and Ha’il Regional Airport, Al-Jasser said.
Other opportunities include the construction of four highways, such as the 92km Asir-Jizan road in Saudi Arabia’s mountainous western region, which will cost SAR6 billion ($1.6 billion) to build.
Private companies have already signed SAR18 billion ($4.8 billion) of contracts to develop and operate Saudi ports, Al-Jasser said.
Ceer, a Saudi electric car manufacturer, announced 11 partnerships worth SAR5.5 billion ($1.5 billion) with private sector companies during the conference, the majority of which are with local companies.
Saudi Arabia has more than SAR240 billion ($64 billion) of logistics projects underway and planned, most of which are open to private sector investment, a government minister has said.
This includes airport management, highway construction and seaport projects, transport minister Saleh Al-Jasser told a government-backed investment conference in Riyadh this week.
Private sector investment and participation in the economy are crucial to Saudi Arabia’s dreams of diversifying its economy away from oil, and developing other sectors including tourism, technology and manufacturing.
“The private sector is a great partner in realising the achievements of the logistics sector,” Al-Jasser said at the Private Sector Forum, a Saudi Public Investment Fund (PIF) event in Riyadh aimed at encouraging private sector activity in the kingdom.
The private sector’s share of GDP stands at around 46 percent now, economy minister Faisal Alibrahim said at the same conference, but it has a way to go to reach the kingdom’s Vision 2030 target of 65 percent.
By value, 80 percent of the logistics projects are open to private sector investment as Saudi Arabia seeks to become a “regional logistics hub”, Al-Jasser said.
Open participation includes the management of four airports; Abha International Airport, which is in the final bidding stage; Taif International; Prince Naif bin Abdulaziz International and Ha’il Regional Airport, Al-Jasser said.
Other opportunities include the construction of four highways, such as the 92km Asir-Jizan road in Saudi Arabia’s mountainous western region, which will cost SAR6 billion ($1.6 billion) to build.
Private companies have already signed SAR18 billion ($4.8 billion) of contracts to develop and operate Saudi ports, Al-Jasser said.
Ceer, a Saudi electric car manufacturer, announced 11 partnerships worth SAR5.5 billion ($1.5 billion) with private sector companies during the conference, the majority of which are with local companies.
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