The sovereign wealth entities of Saudi Arabia and Bahrain have inked a memorandum of understanding (MoU), establishing a framework to foster investment cooperation and explore new, promising investment opportunities within Bahrain. The partnership, formed between the Public Investment Fund (PIF) and Mumtalakat Holding Company, promises to cultivate strategic partnerships and bolster economic diversification in both nations.
Under the terms of the MoU, the PIF will identify and pursue investment prospects that will not only enhance its portfolio but also inspire the private sector to explore additional opportunities within Bahrain. This alignment seeks to fortify the investment landscape of the kingdom and support the economic goals outlined in Bahrain Vision 2030.
Shaikh Abdulla bin Khalifa Al Khalifa, CEO of Mumtalakat, expressed his enthusiasm for the collaboration, which builds upon the historically robust ties between the two kingdoms. He emphasized the objective to fortify partnerships and stimulate private sector involvement in line with Mumtalakat’s mandate to invest in key economic sectors and generate quality employment.
Yazeed A. Al-Humied, Deputy Governor and head of MENA Investments at PIF, highlighted the MoU’s role in reinforcing investment collaborations across various sectors in Bahrain. The agreement aligns with PIF’s strategy to establish meaningful regional partnerships, contributing to sustainable returns and asset diversification in sync with the Saudi Vision 2030.
The PIF, recognized as one of the largest and most influential sovereign wealth funds globally, continues to drive Saudi Arabia’s economic reformation and diversification efforts. Since 2017, the fund has launched 93 companies across 13 strategic sectors worldwide. Meanwhile, Mumtalakat’s portfolio spans over 50 companies in diverse industries, from manufacturing to education.
Following the MoU, the PIF has reaffirmed its commitment to inject up to $5 billion through the Saudi-Bahraini Investment Company into Bahrain’s promising sectors, marking a significant leap in bilateral investment ties. This endeavor underscores the PIF’s role in shaping the future of the global economy and Mumtalakat’s pursuit of attractive investment opportunities for joint ventures with the PIF.