Public Investment Fund (PIF), the sovereign wealth fund of Saudi Arabia, has signed five memorandums of understanding (MoUs) worth up to $51 billion with leading Japanese financial institutions.
These MoUs were signed with Mizuho Bank, Sumitomo Mitsui Financial Group, MUFG Bank, Japan Bank for International Cooperation (JBIC), and Nippon Export and Investment Insurance (NEXI).
The MoUs are a key part of PIF’s strategy to boost financial collaboration globally, enhancing cooperation in finance, investment and sustainable development. They cover a variety of areas, including encouraging two-way capital flows through both debt and equity.
Rasees AlSaud, Head of Financial Institutions and Investor Relations, said that, “The MoUs demonstrate PIF’s robust and ever-deepening relationships with leading international financial institutions. This collaboration underscores PIF’s commitment to foster partnerships. The MoUs cover both PIF and portfolio companies, as well as Japanese companies and financial institutions.”
PIF also signed a memorandum of understanding (MoU) with the Hong Kong Monetary Authority (HKMA) to work towards jointly anchoring a new investment fund, with a target size of $1 billion. The MoU was signed at FII 8th Edition in Riyadh.
Under the MoU, the fund would explore investment in manufacturing, renewables, fintech and healthcare, supporting the localization in Saudi Arabia of companies connected to Hong Kong and the Greater Bay area.
It would enable the creation of highly skilled local jobs and drive economic growth by fostering regional champions in the target sectors. It would reinforce Hong Kong’s position as one of the world’s leading financial hubs, leveraging its diverse talent pool, efficient financial infrastructure and deep liquidity.
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