Saudi Fund’s Shifting Focus Hits Budgets on Some Projects
- Fund asks some portfolio firms to cut requests by up to 20%
- The PIF says overall capital deployment is still increasing
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Saudi Arabia’s sovereign wealth fund is preparing to cut budgets for some local projects for a second year even as it increases overall spending, reflecting the kingdom’s shifting priorities in a trillion-dollar plan to overhaul the economy.
The Public Investment Fund has asked some portfolio companies to cut their proposed budgets for next year by as much as 20% while some other developments may be accelerated, according to people familiar with the matter, who asked not to be identified discussing private information. The PIF is also reviewing budgets for projects yet to be announced, the people said.