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Capital Flows, Strategic Expansion and Policy Influence

  • Writer: j. awan capital
    j. awan capital
  • 13 hours ago
  • 3 min read

Saudi Arabia continues to demonstrate strong economic momentum across capital flows, regional investment expansion, and global policy engagement. From record high remittance levels and strategic cross border agreements, to the Public Investment Fund’s private sector enablement platform and high level discussions at the Al Ula Emerging Markets Conference, the Kingdom reinforces its position as a stable, investment driven, and globally engaged economy.

 

Sustained Economic Activity Reflected in Record Remittance Levels


Foreign residents’ remittances from Saudi Arabia reached a historic high in 2025, totalling SAR 165.5 billion, representing a 15 percent increase compared to SAR 144.2 billion in 2024, according to Saudi Central Bank data.


At the same time, remittances by Saudi nationals exceeded SAR 70 billion. 

While remittance outflows represent external capital movement, they also serve as a strong indicator of domestic economic activity, labor market expansion, and sustained income generation across key sectors. Elevated remittance levels reflect continued infrastructure development, private sector growth, and large scale project execution under Vision 2030.


Supported by prudent monetary management, foreign reserve strength, and the maintained USD peg framework, these flows remain consistent with macroeconomic stability.

 

Strategic Investment Engagement with Syria


Five investment agreements were signed in Damascus between Saudi companies and Syrian government entities under the leadership of Minister of Investment Khalid Al Falih.


The agreements span strategic sectors including water desalination and transmission infrastructure development, establishment of a joint airline venture known as Nas Syria, digital infrastructure deployment through the Silk Link project, industrial cable sector development partnership, and airport development and operation projects with investments reaching SAR 7.5 billion.


In parallel, channels for financial transfers between Saudi and Syrian banks are expected to be activated, and the Saudi Syrian Business Council officially commenced operations. 

These initiatives reflect a structured economic re engagement strategy, positioning Saudi private sector participation at the center of infrastructure, aviation, digital, and utilities expansion.

 

PIF and Private Sector Forum 2026


The fourth edition of the Public Investment Fund and Private Sector Forum will be held on 9 and 10 February 2026 at the King Abdulaziz International Conference Center.


The forum is designed to deepen integration between PIF and the domestic private sector by expanding supplier registration, partnership channels, and direct engagement with portfolio companies.


The 2026 edition broadens its scope across five strategic zones covering tourism and aviation, advanced industries, urban development, logistics and industrial services, and clean energy and water infrastructure.


With more than 100 dialogue sessions and over 200 speakers, the forum underscores PIF’s evolving role as an ecosystem builder, reinforcing local value creation, supply chain development, and private sector empowerment.


Emerging Markets Policy Dialogue at Al Ula 2026


At the second Al Ula Conference for Emerging Market Economies 2026, Minister of Finance Mohammed Al Jadaan emphasized the structural rise of emerging economies, which now represent approximately 60 percent of global GDP on a PPP basis and more than 70 percent of global growth.


He highlighted growing structural pressures including sovereign debt vulnerabilities, slower global trade expansion, volatile capital flows, and geopolitical fragmentation. 

He stressed that these are not cyclical challenges but deep structural shifts requiring credible, coordinated, and nationally anchored policy responses.


The conference positioned Saudi Arabia as an active contributor to shaping emerging market policy dialogue while reinforcing the stabilizing role of multilateral institutions in supporting market resilience.

 

Sources

 

  • Saudi Central Bank SAMA Remittance Data 2025. 

  • Ministry of Investment Press Release on Saudi Syrian Investment Agreements. 

  • Public Investment Fund Private Sector Forum 2026 Announcement. 

  • Ministry of Finance Speech at Al Ula Emerging Markets Conference 2026. 

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