A Memorandum of Understanding was inked on Monday by the Public Investment Fund (PIF) of Saudi Arabia and the US investment behemoth BlackRock to coordinate the latter’s regional infrastructure plan and investigate investment possibilities in the Kingdom.
According to a statement from the Saudi wealth fund, the new deal will concentrate on investing in a range of industries, including energy, utilities, water, environment, transport, telecoms, and social infrastructure.
The majority of Blackrock’s assets will concentrate on Saudi Arabia, despite its plans to diversify its investment portfolio throughout the Middle East. BlackRock will work to establish a specialised infrastructure investment team in the Saudi capital Riyadh in support of this endeavour.
In order to increase foreign direct investment (FDI) into Saudi Arabia, which is a goal that is consistent with Vision 2030, PIF and BlackRock intend to collaborate. They also intend to bring value to the Kingdom’s economy and the wider market while facilitating knowledge and skills transfer.
The MoU also complies with PIF’s objective, according to a statement, “to explore new investment opportunities in the MENA region, while enabling and supporting Saudi private sector participation.”
“It further cements PIF’s partnership with BlackRock and allows both parties to explore opportunities in Saudi Arabia and across the Middle East, in line with PIF’s strategy to expand its local and regional investment portfolio,” it added.
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