Saudi Arabia’s Neom secures US$2.7 billion financing to fund megaprojects
29 April 2024
Saudi Arabia’s special economic zone Neom has secured financing worth SAR 10 billion (US$2.7 billion) as it moves ahead with the development of megaprojects like the Line and Trojena.
Sindalah Island, part of NEOM, in February 2024. Image: NEOM
Neom said that the revolving credit facility (RCF) will support short-term financing requirements for major construction projects as development progresses. The deal follows a Murabaha structure.
It follows on from SAR 3 billion (US$800 million) debt financing arranged last year to partially fund the development of the Sindalah luxury island destination that is set to open this year.
Nadhmi Al-Nasr, CEO, NEOM, said: “As NEOM continues to gather pace, this new credit facility, backed by Saudi Arabia’s leading financial institutions, is a natural fit within our wider strategy for funding. We continue to explore a variety of funding sources as we deliver transformational infrastructure assets while supporting the wider Vision 2030 program.
“NEOM is among the largest projects in the world today, and we value the partnership we have with our relationship banks in facilitating access to a range of flexible financing options as we deliver on our ambition.”
