Neom CEO departs as Saudi Arabia scales back mega-projects
Nadhmi al-Nasr, who served as the CEO of the $500 billion Neom development initiative started by Crown Prince Mohammed bin Salman, has left his position, as announced in a statement from Neom on Tuesday. The statement did not specify the reasons for his exit.
Prince Mohammed has invested hundreds of billions of dollars in various development initiatives using the kingdom's Public Investment Fund (PIF).
The massive Red Sea project, which is set to cover an area comparable to Belgium and accommodate around 9 million residents, plays a key role in the prince's Vision 2030 initiative. This initiative focuses on reducing the country's reliance on oil and diversifying its economy.
However, some of the projects have been reduced in scope because of increasing expenses. This includes the Line, a modern city designed with reflective walls that stretches 170 kilometers (106 miles) across the desert in the Neom region.
In May, Reuters revealed that the $925 billion Public Investment Fund (PIF) was considering a restructuring to concentrate on investments with better prospects for success. As the leading oil exporter globally, Saudi Arabia continues to depend significantly on income from oil. However, lower oil prices and reduced production have negatively impacted government finances.
Aiman al-Mudaifer has been appointed as the interim CEO of Neom. He has led the Local Real Estate Division at the Public Investment Fund (PIF) since 2018 and is well-acquainted with Neom and its initiatives, according to a statement from Neom.
"As Neom moves into a new stage of implementation, the fresh leadership will guarantee smooth operations, flexibility, and effectiveness to align with the project's broader vision and goals," the press release states.
As part of his position at PIF, Mudaifer manages all domestic real estate investments and infrastructure initiatives. Additionally, he serves as a board member for several major corporations within the country.
