After the signing of a memorandum of understanding between the main institutions of the two countries, Saudi Arabia's trade and economic relations with Oman will be strengthened. The Saudi Public Investment Fund has signed the agreement with the Oman Investment Authority, which will help PIF and its portfolio companies unleash investment opportunities in Gulf countries.

This memorandum of understanding represents an important milestone in the strategic partnership between PIF and OIA, as it aims to expand PIF's investment portfolio in Oman, building on the recently established Saudi Oman Investment Company, a PIF wholly-owned company with plans to invest up to $5 billion in promising industries in Oman.

SOIC recently completed its first transaction in Oman as a 20% major investor in Abraj Energy Services' initial public offering. PIF aims to establish a long-term strategic partnership in the region, support the creation of sustainable returns, create value for the local economy, maximize PIF's assets, and diversify Economy of Saudi Arabia's economy according to the 2030 vision, said Yazeed Al Humied, vice president of the fund and head of Middle East and North Africa investment.

The Memorandum of Understanding is an important step in strengthening the relationship between PIF and OIA, ultimately helping the Kingdom's sovereign wealth fund expand its investment footprint in the Oman economy. This memorandum of understanding builds on our existing relationship with PIF and facilitates greater cooperation, promoting economic diversification in Saudi Arabia and Oman, "said Mulham bin Basheer Al Jarf, Vice President of OIA Investment.

Through its vision for 2040, Oman aims to achieve economic diversification by promoting growth in sectors such as tourism, logistics and manufacturing, as well as fisheries and mining, as well as increasing foreign investment in the Sultanate.

Al Jarf added that the memorandum of understanding will also strengthen partnerships between private sector companies operating in Oman and Saudi Arabia. PIF has been making strategic investments in multiple countries around the world to align with the Kingdom's economic diversification strategy outlined in its 2030 vision.

In January 2023, data released by the Sovereign Wealth Fund Research Institute showed that PIF has consistently maintained sixth place on the global top sovereign wealth fund list, with an asset value of $607.42 billion. Currently, the sovereign fund has 73 companies in 10 different industries and has created over 500000 direct and indirect employment opportunities.Editor/XingWentao