PIF Assets Surge to $480bln 2021 End, 216% Jump in 6-Year

Overall estimate of the Saudi Public Investment Fund (PIF) increased by about $30 billion (SR112.5 billion), in the last 2-month of 2021, bringing its assets to $480 billion (SR1.8 trillion), by the end of the year, as it was at $450 billion (SR1.69 trillion), according to October 2021 report, released by the Swiss Institute (SWF Institute), specializing in monitoring the assets of sovereign wealth funds, all over the world.

The data shows that the Public Investment Fund maintained its 8th ranking position, among the largest sovereign wealth funds, in the world as it managed to add about $80 billion (SR300 billion) to its assets, during the Year 2021, increasing its assets from the level of $400 billion (SR1.5 trillion), at the end of 2020.

The new rise in the assets of the Public Investment Fund reflects its steady progress towards achieving a strategy for the 5-year (2021-2025), as it aims to realize about 1$trillion (SR3.75 trillion) by the end of the Year 2025, before reaching about $2 trillion (SR7.5 trillion) by 2030.

According to the assurances of HRH Crown Prince Mohammed bin Salman, Chairman of the Board of Directors of the fund, the major projects launched in recent years, will qualify it to achieve its goals and reach the forefront of sovereign funds,

Major projects currently being implemented will represent a strong boost to the assets of the fund, which will place it beyond any doubt, at the forefront of the sovereign funds, in the world, by a large difference from the largest sovereign funds, in the world (Norwegian pension fund’s assets, is currently at $1.33 trillion.)

The data show that the assets of the Public Investment Fund, since the launch of the Kingdom’s Vision 2030, have witnessed great leaps that reflect the determination of the fund’s management to build an investment arm, locally and internationally, capable of bringing about a real change, henceforth, it has managed, by the end of 2021, to effect an increase of 216%.

PIF’s assets rose from $152 billion (SR570 billion) in 2015 to $192 billion (SR720 billion) in 2016, then rose to $222.7 billion (SR835 billion) in 2017, and then quickly rose to $259.2 billion (SR972 billion) in 2018, then it jumped to $322 billion (SR1.2 trillion) in 2019, to jump the following year to about $400 billion (SR1.5 trillion) by the end of 2020, before recording SR480 billion (SR1.8 trillion) by the end of 2021.

The Fund established more than 30 local companies, in 10 vital sectors, with the aim of growing its assets, by launching, as well, new sectors to diversify the economy.

Saudization and investment in promising sectors, are among the goals, as the fund contributed to creating more than 331,000 direct and indirect jobs, across the national economy’s sectors.

The Fund succeeded in consolidating its position globally, as the volume of  the investments increased to constitute 30% of the total assets of the fund, compared to 5% in 2017.

The Fund succeeded in diversifying its investments, geographically, in various asset portfolios and in different sectors, by expanding its investments in North America, Europe, Asia, Latin America and Africa, with expansion in various asset categories and portfolios, to include direct and indirect investments, in public and private equity markets, fixed income, real estate, infrastructure and others.