In a move signaling the nation’s surging ambitions, Saudi Investment Minister, Engineer Khalid Al-Falih, has projected that borrowing requests for major Saudi projects could amount to around $1.5 trillion. This announcement was made at the launch of the Saudi-Japanese Investment Forum in Riyadh, a significant event attended by Japan’s Minister of Economy, Trade, and Industry, Ken Saito, and representatives from 45 major Tokyo companies, along with over 400 delegates from both public and private sectors of the two countries.

Scaling Heights with Clean Hydrogen

The minister’s projections underscore Saudi Arabia’s aspiration to become a global hub for the export of clean hydrogen. This falls in line with the Kingdom’s ambitious Vision 2030, which aims at large-scale diversification of the economy beyond its traditional oil base. Al-Falih also anticipates investments of up to $600 billion being pumped into the petrochemical sector by 2030.

Japanese Investments in the Kingdom

Al-Falih highlighted the ample opportunities that Japanese banks and institutions have to finance significant projects in the Kingdom. The expectation is that these projects would require substantial borrowing for successful implementation. Saudi Arabia is targeting investments exceeding 12 trillion riyals ($3 trillion) across all sectors to achieve the goals of Vision 2030.

The Saudi-Japanese Investment Forum

The forum is expected to highlight untapped investment opportunities and announce 14 agreements and memoranda of understanding between Saudi Arabia and Japan across a range of sectors, including water, telecommunications, energy, and financial services. The Saudi financial market, Tadawul, is poised for substantial growth, with potential opportunities pegged at $1.7 trillion through debt instruments or stocks. The forum also heralded the opening of Izawa’s first factory in the Kingdom and the inauguration of the HIS travel office in Riyadh.

Saudi Arabia and Japan are keen to enhance their economic partnership, a commitment reflected in the signing of 14 agreements covering multiple significant areas, including water, energy, financial services, health care, communications, and industry. As the two nations continue to strengthen their ties, the world watches with anticipation, underscoring the far-reaching implications of these economic power moves.