PIF’s Assets Increase by a Whopping 390% Since 2016

Placing itself among the largest sovereign wealth funds in the world, Saudi Arabia’s sovereign wealth fund – Public Investment Fund (PIF) – has increased its assets by a whopping 390%, from $190 billion to $941.3 billion, ever since the Kingdom launched “Vision 2030” to diversify its economy from depending on hydrocarbon revenues in 2016.

This has exceeded the given target of $880 billion by 2024 and as a result, the 2030 asset goal was raised from $1.87 trillion to $2.67 trillion. The PIF is expected to beat that target and reach $3.2 trillion due to strong annual returns, coming in between 7% and 8% and outperforming the global average of 5% to 6%, according to member of American Economic Association Ali Al Hazmi.

According to a report in Asharq Business, he attributed this to the major transformations it has undergone through sector diversification and entering into international partnerships.

The Vision 2030 Annual Report for 2024 said that since its restructuring under Vision 2030, PIF has evolved from a traditional sovereign wealth fund into a globally recognised driver of economic transformation.

Its role has expanded well beyond asset management, now shaping new industries, enabling private sector growth, and positioning Saudi Arabia as a leading investment destination. PIF has undergone a sweeping transformation since 2016, investing in strategic sectors, acquiring key state-owned assets, and launching new national companies.

“Through strategic investment and regulatory enablement, PIF has helped expand Saudi Arabia’s asset management industry, growing both the number of licensed managers and the value of managed assets,” the report said.

To further unlock its investment potential, PIF has strengthened its financial base through the transfer of 8% of Aramco shares, boosting portfolio value while reducing the state’s direct ownership to 82.186%.

The PIF also secured $15 billion in syndicated credit facilities through 23 global financial institutions, enhancing liquidity and financial flexibility last year.

“These efforts supported PIF’s strategic goals such as developing new sectors, localising knowledge and technology, and creating sustainable, high-quality jobs,” the report said.

PIF actively enables the private sector, both domestic and international, through its portfolio companies and its five giga projects such as NEOM, Qiddiya, Red Sea Global, Roshn Group and Dirriya Company.

These five projects serve as platforms for private-sector participation, SME development, and localisation. In fact, the private sector’s investment between 2021 and third quarter of 2024 stood at $37.33 billion, the report said.

Looking Ahead

As Saudi Arabia enters its third and final phase of delivery in 2026, the focus will shift toward ensuring the sustainability of the private sector.

This include reducing reliance on government support while continuing to enable opportunity through regulation, infrastructure, and strategic investment.

The future of Saudi Arabia’s economy will be increasingly defined by private enterprise, a sector empowered to lead in high impact fields such as advanced manufacturing, Artificial Intelligence (AI), and the digital economy, and capable of delivering on the target of 65% of GDP driven by the private sector.

The report also highlighted Vision 2030’s accelerated progress, as 93% of its strategic KPIs have been achieved, exceeded, or are close to meeting interim targets, with 85% of the 1,500 initiatives either completed or on track, the report added.