The Public Investment Fund (PIF) was originally established in 1971 to facilitate the development of the Saudi Arabian national economy. In 1974, PIF was mandated to hold equity positions in joint-stock ventures within its domestic economy. In 2008, PIF will manage and fully own a new sovereign wealth fund. The new sovereign wealth fund managed by the PIF will take on a long term investment horizon similar to that of most sovereign wealth funds.
The Public Investment Fund (PIF) was established by Royal Decree No. M/24, dated 25-06-1391H corresponding to 17-08-1971. The purpose of establishing PIF was to provide financing support to productive projects which are of a commercial nature and are strategically significant for the development of the national economy and cannot be implemented by the private sector alone either because of insufficient experience or inadequate capital resources or both.
Ministry Of Finance Compound
Kingdom Of Saudi Arabia
P. O. Box # 6847 Riyadh – 11452
Strategy & Objectives
The portfolio of the PIF includes mostly loans, equity interests in national firms and equity shares in corporations.
The general secretariat assumes the responsibility of receiving and verifying applications and of reviewing and appraising studies conducted by concerned parties of the proposed projects in order to ensure the feasibility and profitability of the projects with respect to the national economy. It also proposes allocations to be earmarked in the budget for the replenishment of PIF resources and approval of its financial position.