Saudi Economy Minister Directly Refutes
"Long-term Project, Unprecedented Venture"
The Saudi Arabian government recently refuted reports in foreign media suggesting a downsizing of the Neom City construction project, stating that it is proceeding as originally planned.
According to CNBC on the 29th (local time), Faisal Al Ibrahim, Saudi Arabia's Minister of Economic Planning, attending the World Economic Forum (WEF) special meeting in Riyadh, said, "The scale of the Neom project will not be reduced and is progressing according to the original plan," adding, "We have started an unprecedented venture, are carrying it out, and will witness unprecedented developments ahead." This was a direct rebuttal to the downsizing rumors of the Neom City project previously reported by foreign media such as Bloomberg.
Earlier this month, Bloomberg cited sources related to the Neom City project, reporting that "The scale of Neom City’s The Line, originally planned to accommodate 1.5 million people by 2030, will be drastically reduced to about 300,000 people," and that "The initial goal was to build a 170 km linear megacity crossing the desert by 2030, but considering the current progress, it is feared that only a 2.4 km section will be completed by 2030."
Minister Ibrahim emphasized that the Neom project itself consists of multiple projects moving together and should not be viewed in isolation. He explained, "This project is a long-term project with a modular design," adding, "Various large-scale projects are moving around the Neom project. We will review which projects to prioritize while monitoring market responses going forward."
Meanwhile, the Neom City project is a futuristic new city being constructed in the desert near the Red Sea in northwestern Saudi Arabia. It is a core initiative of the 'Vision 2030' project led by Crown Prince Mohammed bin Salman, the de facto ruler of Saudi Arabia. The total area of the new city construction is 26,500 km², 44 times the size of Seoul. The construction cost is estimated to exceed $1.5 trillion (approximately 2,064 trillion KRW).
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