Saudi Arabia Invests Billions in Brookfield Fund

Saudi Arabia's Hassana Investment Company is investing up to $500 million in Brookfield Asset Management's new $2 billion Middle East private equity fund, Brookfield Middle East Partners (BMEP), which aims to support local economic growth and attract foreign direct investment. The Public Investment Fund (PIF) will also serve as an anchor investor, contributing a yet undisclosed amount, with a commitment to allocate at least 50% of the fund's capital towards investments within Saudi Arabia. This partnership, formalized at the Future Investment Initiative in Riyadh, underscores the kingdom's strategy to enhance private equity investments and foster economic diversification under Vision 2030. Brookfield plans to invest across various sectors including technology, healthcare, and business services, leveraging its expertise to establish a significant presence in the region. The fund is part of Saudi Arabia's broader initiative to increase foreign direct investment, which aims to reach $100 billion annually by 2030, a substantial increase from the current average of $12 billion per year. This move reflects the ongoing transformation of the Saudi economy as it seeks to reduce its reliance on oil revenues.