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Saudi Arabia Scales Back Neom as PIF Rewrites Vision 2030 Priorities

The shift reflects a PIF-led review under budget pressure from weaker oil prices.

Overview

  • Neom was omitted from the 2026 budget in what the finance minister called a recalibration of megaprojects to ensure delivery and cost discipline.
  • The Line has been cut to a roughly 2.4–5km pilot known as the Hidden Marina targeting 2030, replacing plans for a 170km city of 9 million residents.
  • Construction of Riyadh’s $50bn Mukaab has been suspended, and Trojena faces downsizing after the 2029 Asian Winter Games were postponed.
  • A PIF spending review under new Neom director Aiman al‑Mudaifer has sharply reduced contracts and consultant roles across the project.
  • Funding is concentrating on revenue‑oriented elements such as Oxagon and the Neom Green Hydrogen Project, with broader investment shifting toward AI, data centers and logistics.