NEOM has recently finalized a credit facilities agreement worth 10 billion SAR to address its short-term financing necessities, coinciding with significant advancements in its primary projects’ development momentum.
Structured on a Murabaha model, this credit arrangement aims to bolster the progress stages of NEOM’s flagship projects, including “The Line,” “Oxagon,” “Turogina,” and “Sandalah.”
NEOM’s CEO, Engineer Nazmi Al-Nasr, highlighted the significance of these credit facilities, backed by a consortium of leading financial institutions in the Kingdom. He emphasized the alignment of this financing strategy with NEOM’s comprehensive vision and the economic goals outlined in Saudi Arabia’s Vision 2030.
Expressing gratitude for the support from banking partners, Al-Nasr underscored the diversity of financing options made available, underscoring the scale of the project as one of the world’s largest.
The announcement of this new financing arrangement garnered considerable attention from major financial institutions in the Kingdom, with the participation of nine banks, led by the Saudi National Bank, Riyadh Bank, and Saudi British Bank, among others.
In addition to this recent development, NEOM previously secured a 23 billion SAR financing agreement in 2023 to establish “NEOM Green Hydrogen Company” and another agreement valued at 3 billion SAR to fund part of the development and preparation of Sandalah Island.
Further demonstrating its commitment to transparency and collaboration, NEOM hosted officials from 52 local, regional, and global banking and financial institutions. This allowed for in-depth discussions on investment opportunities and updates on key projects like The Line, Oxagon, Turogina, Sandalah, and NEOM’s luxury marine tourism destination.
Engineer Nazmi Al-Nasr emphasized NEOM’s ongoing efforts to forge partnerships with leading global companies, noting the welcoming stance towards additional investments and collaborations as the project progresses.
The event attracted representatives from 24 global banks and financial institutions, as well as 13 regional banks and 15 financial institutions from Saudi Arabia.
NEOM’s recent initiatives include the largest public-private partnership in the Kingdom to expand its worker housing communities, valued at over 21 billion SAR, and a partnership with DSF Group to establish a joint project worth 37.5 billion SAR to provide logistics services in NEOM.
