Saudi Arabia Launches Ambitious $64 Billion Privatization Drive, Targeting Private Capital by 2030

In a major pivot toward private capital, Saudi Arabia has launched a sweeping national privatization strategy with the goal of raising $64 billion from investors by the end of the decade. The plan envisions signing more than 220 public-private partnership (PPP) contracts spanning 18 sectors—including transport, water, and airports—to shift funding and service delivery away from state control.

A government spokesperson informed Semafor that the new framework is designed to be "more execution-focused," with clearer risk allocation and project structures intended to bolster investor confidence. This push comes as Riyadh undertakes a broader reassessment of its spending priorities, which has already led to the suspension of work on the landmark Mukaab skyscraper and a scaling back of certain NEOM megaproject elements.

The kingdom has attempted similar privatization drives in the past with limited success. Previous efforts yielded few completed asset sales, while major proposals like the coast-to-coast Saudi Landbridge rail line have remained in planning stages for years. A 2021 attempt to sell the Ras Al Khair desalination plant was abandoned due to lackluster investor interest.

Analysts note that the success of this new strategy will depend on Riyadh's ability to offer transparent, bankable projects and a stable regulatory environment—factors that have sometimes been lacking in earlier initiatives.

Sarah Chen, Emerging Markets Analyst (London): "This is a pragmatic recalibration. By clarifying risk-sharing and focusing on executable projects, Saudi Arabia is addressing past investor grievances. If implemented consistently, it could significantly diversify funding sources away from oil revenues."

Markus Weber, Infrastructure Fund Manager (Frankfurt): "The ambition is clear, but execution is everything. We've seen grand plans stall before. Investors will need concrete tenders and legal assurances, not just another strategy document. The rail and desalination precedents are cautionary tales."

Rashid Al-Fares, Economic Commentator (Riyadh): "Finally, a move beyond vision statements! This could unlock real efficiency if it transfers operational risks to the private sector. But it must not become a fire sale of national assets—transparency in selection and contracting will be key."

Elena Rossi, Sustainable Finance Advocate (Milan): "$64 billion is staggering, but at what cost? This rush to privatize essential services like water worries me. Will profit motives override public access? The strategy feels like a desperate cash grab dressed up as reform."