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Saudi Arabia’s PIF reports $11bn loss

12 July 2023

Saudi Arabia’s Public Investment Fund (PIF) made an investment activity loss of about $11bn in 2022, in sharp contrast to the $19bn profit reported the previous year.

Despite the loss on investment activity made last year, PIF’s total assets grew from $676bn to about $778bn in 2022, according to a report by Bloomberg.

In 2021, a global market rally allowed the PIF to yield a 25 per cent return. The fund did not provide a similar figure for 2022.

As of the end of 2022, the fund’s borrowings amounted to $85bn. Earlier this year, it secured $5.5bn with a three-tranche green bond sale.

The PIF and its subsidiary companies are leading the development of a wide range of projects in the kingdom, including five official gigaproject developers. They are Neom, Red Sea Global, Roshn, Qiddiya and Dirriyah.

According to regional projects tracker MEED Projects, there have been $42bn-worth of contract awards so far this year. PIF and its subsidiaries awarded just under $9bn-worth, or 21 per cent of these contracts.  

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Colin Foreman

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