- At its inaugural Private Sector Forum, PIF announces three key initiatives as part of its efforts to further enable and empower private sector businesses
- PIF’s Local Content Growth program, "MUSAHAMA", aims to increase the share of local content spend in PIF’s domestic portfolio to 60% by the end of 2025
- PIF’s Suppliers Development Program will support the development and upskilling of local suppliers and vendors to meet the growing requirements of PIF’s portfolio companies
- PIF’s Private Sector Hub will provide private sector companies with greater visibility on supplier and investment opportunities offered by PIF and its portfolio companies
RIYADH – The Public Investment Fund (“PIF” or the “Fund”) announced today at its inaugural Private Sector Forum the following suite of new initiatives dedicated to supporting and enabling the private sector:
- PIF’s Local Content Growth Program, "MUSAHAMA". This Program aims to increase the share of local content spend in PIF’s domestic portfolio to 60% by the end of 2025. As part of this program, each PIF company will embed local content considerations in their design decisions and procurement policies.
- PIF’s Suppliers Development Program, which will support the development and upskilling of local suppliers and vendors to meet the growing requirements of PIF’s portfolio companies. As part of this Program, during 2023 PIF will hold vendor boot camps for the contracting sector to help Tier 2 and Tier 3 contractors prepare their companies to qualify as vendors.
- The Private Sector Hub, a dedicated channel to share supplier and investment opportunities with the private sector. The hub is now live and contains more than 100 opportunities, and will be continuously enhanced and updated.
Jerry Todd, Head of the National Development Division at PIF, commented: “The empowerment of the private sector is one of PIF’s foremost priorities considering the private sector’s crucial role in the growth and development of the Saudi economy.
“The launch of our MUSAHAMA Local Content Program and Supplier Development Program is a major step forward in our efforts to drive the growth of local content in the Kingdom. Both of these programs will ensure that PIF and its portfolio companies embed local content considerations in our activities and operations which will contribute directly towards developing local industries and building long-term supplier and vendor partnerships, thereby strengthening local capabilities, enhancing the competitiveness of local players, improving supply chain resilience, and stimulating innovation in the Saudi economy.
“Through the launch of the Private Sector Hub, we are also reiterating our commitment towards enabling the private sector by creating more visibility on opportunities to participate as suppliers, investors and operators in PIF’s and our portfolio companies’ projects going forward.”
One additional PIF initiative to both enable and engage the private sector is PIF’s inaugural two-day Private Sector Forum which opened today at the Four Seasons Hotel in Riyadh. The first of its kind, PIF’s Private Sector Forum has gathered PIF executives, ministers, senior government officials, and representatives from 50 PIF portfolio companies, as well as over 4,000 private sector participants representing a broad range of sectors.
The Forum and the three new initiatives are in alignment with PIF’s aim to increase its contribution to local content to 60% by 2025, support the private sector in increasing its contribution to GDP by up to 65% by 2030, create job opportunities, localize technology, and drive the transfer of technology and knowledge to Saudi Arabia.
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ABOUT PIF
The Public Investment Fund (PIF) is one of the largest and most impactful sovereign wealth funds in the world. Since 2015, when the Board was reconstituted and oversight transferred to the Council of Economic and Development Affairs, the Fund’s board of directors has been chaired by His Royal Highness Crown Prince Mohammad bin Salman bin Abdulaziz, Prime Minister, Chairman of the Council of Economic and Development Affairs, and Chairman of the Public Investment Fund. PIF a leading role in advancing Saudi Arabia’s economic transformation and diversification, as well as contributing to shaping the future of the global economy. Since 2017, PIF has established 71 companies and created, directly and indirectly, more than 500,000 jobs as at the end of 2021.
PIF is building a diversified portfolio by entering into attractive and long-term investment opportunities in 13 strategic sectors in Saudi Arabia and globally. PIF's strategy, as set out in the PIF Program 2021-2025 - one of the Vision 2030 realization programs - aims to enable many promising sectors and contribute to increasing local content by creating partnerships with the private sector, in addition to injecting at least 150 billion riyals annually into the local economy. PIF works to transfer technologies and localize knowledge to build a prosperous and sustainable economy domestically. As the investment arm Saudi Arabia, PIF looks to make unique investments, and is building strategic alliances and partnerships with prestigious international institutions and organizations, which contribute to achieving real long-term value for Saudi Arabia, in line with the objectives of Vision 2030. PIF has also created an operational governance model that reflects its main tasks and objectives, in line with best international practices. Applying this model of governance enhances the level of transparency and effectiveness in decision-making and future progress.
More information about PIF can be found at: www.pif.gov.sa
Media Contact: media@pif.gov.sa