From Oil Wealth to Knowledge Power: How Saudi Arabia Is Redefining Economic Sovereignty

  

The Rise of a Knowledge-Based Economy

In the heart of **RIYADH, Saudi Arabia**, a profound economic transformation is unfolding. As explored in the analytical article published in *Asharq Al-Awsat* titled *"How is Saudi Arabia Redefining Wealth and Economic Sovereignty?"*, writer Faisal Abu Zaki paints a vivid picture of a Kingdom steering away from its historical reliance on oil. Under *Saudi Vision 2030*, the shift to an economy driven by knowledge, advanced technology, and empowered citizens is more than an ambition — it is becoming a reality.  

This transition is visible in hard numbers. Saudi Arabia’s non-oil economy now accounts for over 57% of GDP as of the first quarter of 2025. Furthermore, non-oil revenues surged from SAR 164 billion in 2015 to an impressive SAR 502 billion in 2024. These statistics are not merely milestones; they are proof of the success of strategic diversification policies implemented by the Ministry of Finance and its specialized centers. The Kingdom is cultivating wealth that extends beyond its natural resources, investing heavily in human capital, artificial intelligence, renewable energy, and cutting-edge sectors like semiconductors.  

Sovereignty Through Strategic Vision

Economic sovereignty in today’s Saudi Arabia is about more than controlling resources. As Faisal Abu Zaki highlights, it is also about controlling the narrative of growth — making domestic financial decisions that strengthen long-term sustainability while remaining resilient to external market volatility. The Public Investment Fund (PIF) spearheads this approach, expanding into future-oriented industries that promise enduring prosperity.  

Meanwhile, the fiscal and financial policies guided by the Ministry of Finance and the National Debt Management Center (NDMC) provide a stable backbone for responsible growth. These measures ensure fiscal discipline and protect against economic shocks. This stability has had a tangible social impact: unemployment dropped to just 3.2%, while women’s participation in the workforce rose to over 36%. The Kingdom’s “new wealth” lies in its people — their skills, creativity, and innovation — forming the foundation of an economy built not on oil rent, but on intellectual capital and sustainable vision. 

Empowering a Financially Conscious Society

Communication & Financial Knowledge (Mutamem) recognizes the importance of public awareness in sustaining this transformation. By promoting financial literacy through its initiatives, the Center equips citizens with the tools to navigate and contribute to Saudi Arabia’s evolving economic landscape. This helps cement a culture of financial responsibility aligned with *Saudi Vision 2030*.  

Ultimately, the Kingdom’s journey showcases a remarkable blend of ambition and pragmatism. Through strategic investments, disciplined policies, and empowered citizens, Saudi Arabia is carving a distinctive path toward an economy rooted in knowledge production. In doing so, it sets a precedent for redefining wealth and economic sovereignty in the 21st century. 

[Comm. & Financial Knowledge Center](https://cfkc.gov.sa) – **@CFKC_KSA**  

Pioneering a Sustainable Future: The Birth of Taqa in Palestine

In a landmark development for renewable energy in Palestine, a strategic coalition has emerged among three prominent institutions: Massader, the energy investment arm of the Palestine Investment Fund (PIF), the Arab Palestinian Investment Company (APIC), and the Bank of Palestine Group (BoP). This collaboration culminated in the signing of an agreement to establish Taqa, a pioneering company dedicated to advancing renewable energy initiatives. The agreement was signed by Mr. Iyad Joudeh, Chairman of PIF; Mr. Tarek Aggad, Chairman of APIC; and Mr. Hashim Shawa, Chairman of BoP, symbolizing a unified commitment to a sustainable energy future.

Driving Energy Independence through Renewable Initiatives

Taqa's mission is clear: to finance and develop medium- and large-scale clean energy plants that will significantly increase the share of renewable energy in Palestine’s domestic production. This ambitious endeavor aims to reduce reliance on energy imports, which have historically strained the national economy. By alleviating the financial pressures associated with electricity imports, Taqa is poised to create a direct, positive impact on the economy. As the project unfolds, it promises to enhance supply reliability and lower costs, ultimately easing the financial burdens of external dependence.

Moreover, the establishment of Taqa represents a strategic partnership that underscores the importance of investing in essential sectors such as energy. By fortifying energy infrastructure, Taqa will not only support industries like agriculture and trade but also strive to make energy more affordable and sustainable for all Palestinians. This initiative is a testament to the potential for renewable energy to serve as a catalyst for economic growth and self-sufficiency.

Partners' Commitment to a Sustainable Future

The commitment demonstrated by the partners is unwavering. Mr. Iyad Joudeh, Chairman of the Palestine Investment Fund, emphasized the importance of strategic investments in energy, stating, “Despite the complex economic and political challenges, PIF continues to pursue strategic investments. Renewable energy emerges as a national strategic choice, offering practical solutions to the challenges of energy security.” This sentiment resonates with the urgency of developing a resilient economy that can withstand external pressures.

In addition to Mr. Joudeh's remarks, Mr. Tarek Aggad of APIC articulated the necessity of investing in renewable energy as a national obligation. He remarked, “Palestine has a strong potential in solar energy… we aim to transform our natural resources into productive projects that generate added value and create jobs.” This partnership not only seeks to harness local resources but also aspires to drive social and economic development across the region.

The establishment of Taqa marks a significant milestone in Palestine's journey toward energy independence and sustainability. By aligning the efforts of leading Palestinian institutions, this initiative reflects a shared vision for a cleaner, more resilient energy future that benefits the entire society. With a focus on renewable energy, Taqa is set to deliver long-term economic, environmental, and social benefits, paving the way for a brighter tomorrow for Palestine.

Harnessing Sustainable Development: A Groundbreaking MOU in Riyadh

In the heart of Saudi Arabia, Riyadh continues to emerge as a beacon of progressive urban development. Recently, a momentous collaboration unfolded between New Murabba, a company under the Public Investment Fund (PIF), and the esteemed King Khalid Foundation. This partnership culminated in the signing of a Memorandum of Understanding (MOU), aimed at accelerating sustainable development initiatives across the Kingdom. The high-profile signing was officiated by Her Highness Princess Nouf bint Muhammad bin Abdullah Al Saud, CEO of the King Khalid Foundation, and Michael Dyke, CEO of New Murabba.  

This partnership marks a pivotal step towards enhancing business synergies between the private and non-profit sectors. The foundation brings decades of expertise in sustainability and urban planning, while New Murabba represents the ambitious vision of Saudi Arabia's PIF. Together, they seek to champion innovative solutions for sustainable technologies and green building practices. Their unified objective is to shape environmentally responsible initiatives, not just locally in Riyadh, but also on the international stage.  

The Vision for Sustainable Urban Development  

The MOU’s overarching objective aligns closely with the Kingdom’s vision for sustainable development, a cornerstone of Saudi Arabia’s 2030 Vision. This collaborative effort will undoubtedly serve to bolster sustainability capacities within the Kingdom, particularly in Riyadh. The initiatives outlined in this memorandum illustrate a comprehensive approach to urban sustainability, firmly rooted in research and innovation.  

Significantly, one of the key initiatives heralded by this collaboration is the launch of the first Green Building Hackathon. This innovative event will engage diverse professionals, from architects to technology developers, in creating sustainable building solutions. Moreover, the hackathon serves as a vital conduit for generating fresh ideas and practical applications that address pressing environmental challenges. Supporting green opportunity grants in Riyadh complements this initiative, fostering local talent and encouraging entrepreneurship in sustainability.  

Specific Initiatives and Their Impact  

The focus of this MOU extends to vital research on sustainable urban development practices, ensuring that plans and strategies are evidence-based and impactful. The involvement of both organizations underscores the importance of a dedicated approach to urban sustainability, particularly in areas such as water conservation, waste management, and energy efficiency.  

Implementing programs centered on social entrepreneurship is another fundamental aspect of the collaboration. By fostering innovation within the community, these initiatives encourage local stakeholders to devise pragmatic solutions bolstering Riyadh's sustainability landscape. Importantly, the collaboration will also establish a joint working group dedicated to overseeing the execution of these initiatives, ensuring that the goals set forth are not only met but exceeded.  

Strengthening Communication and Collaboration  

Notably, effective communication and coordination are imperatives for successful implementation. The designated association officers will be responsible for facilitating dialogue between both organizations, ensuring transparent processes and strategic alignment. This structured approach allows for agility in decision-making and fosters a culture of collaboration.  

As the partnership unfolds, it promises to generate positive momentum for sustainable practices across various sectors. By harnessing the capabilities of both New Murabba and the King Khalid Foundation, Riyadh stands poised to become a model for other cities striving for sustainable urban excellence. The commitment to collaboration emphasizes mutual trust and accountability, grounded in a shared vision for a greener future.  

Pioneering a Sustainable Future  

The MOU between New Murabba and the King Khalid Foundation signals an exciting chapter for sustainable development in Riyadh, Saudi Arabia. Its initiatives offer a roadmap for responsible urban growth, prioritizing ecological balance while fostering economic sustainability. As the Kingdom sets its sights on ambitious environmental goals, this collaboration exemplifies the transformative potential of private-public partnerships.  

Moving forward, both organizations will undoubtedly serve as catalysts for change, inspiring others to embrace sustainability as a core value. The legacy of this MOU will extend beyond the immediate impacts, creating a framework for future generations to build upon. Undoubtedly, the collaboration between New Murabba and the King Khalid Foundation marks a significant stride towards a sustainable and resilient Riyadh, paving the way for a thriving future for all inhabitants of the Kingdom.