Japan's SoftBank to invest $25bn in Saudi Arabia
TOKYO, November 17, 2017
Japan's SoftBank Group plans to invest as much as $25 billion in Saudi Arabia over the next three to four years, a Bloomberg report said.
SoftBank aims will deploy up to $15 billion in Neom, the $500 billion city announced by Saudi Crown Prince Mohammed bin Salman, the report said quoting people familiar with the matter.
The Japanese company’s Vision Fund also plans investments of as much as $10 billion in state-controlled Saudi Electricity Company as part of efforts to diversify the utility into renewables and solar energy, the people said.
SoftBank also will have some of its portfolio companies open offices in Neom, which will be built on the Red Sea coast.
All foreign direct investment in Saudi Arabia totalled $7.45 billion last year, according to data from the Organization for Economic Cooperation and Development.
The new Neom city is aimed at turning the kingdom into a leading global hub that exemplifies the future of human civilisation by offering its inhabitants an idyllic lifestyle combined with exceptional economic prospects.
Set to be the world’s first independent special zone stretching over three countries - extending across the Egyptian and Jordanian borders - Neom will become a new vibrant destination located in the northwestern region of Saudi Arabia.
The city will stretch over 26,500 sq km of land and extend across the Egyptian and Jordanian borders.
Neom will focus on nine specialised investment sectors and living conditions that will drive the future of human civilisation: energy and water, mobility, biotech, food, technological and digital sciences, advanced manufacturing, media, and entertainment with livability as its foundation, Prince Mohammed said announcing the city last month.
