The Public Investment Fund (PIF) of Saudi Arabia and the Hong Kong Monetary Authority (HKMA) have signed a MoU to create an investment fund with a target size of US$1 billion.

The fund will focus on investments in sectors such as fintech, manufacturing, renewables, and healthcare.

It aims to support the localisation of key industries in Saudi Arabia by investing in companies connected to Hong Kong and the Greater Bay Area, fostering local growth and creating skilled jobs.

This initiative is intended to contribute to economic growth and strengthen Hong Kong’s role as a financial hub, drawing on its talent pool and financial infrastructure.

The partnership marks a step in reinforcing economic ties between PIF and HKMA, aligning with Saudi Arabia’s Vision 2030 and its objectives for economic diversification.

The collaboration emphasizes HKMA’s investment experience and PIF’s strategic focus.

The proposed fund is expected to encourage foreign direct investment through Hong Kong, offering companies opportunities to expand into Saudi Arabia’s market.

The agreement was signed during the 8th edition of the Future Investment Initiative (FII) in Riyadh.

This article first appeared on fintechnews.hk

Featured image: (front row, from left) Darryl Chan, Deputy Chief Executive of HKMA and Aiman Almudaifer, Head of Local Real Estate Investments Division of PIF; (back row) Paul Chan, the Financial Secretary of Hong Kong Special Administrative Region Government and H.E. Yasir Alrumayyan, Governor of PIF.