Saudi Arabia’s $63.2 billion City of Earth project seeks to develop Diriyah as a major tourist and real estate destination, enhancing ties with India, a key trading partner. It offers vast investment opportunities for Indian companies, particularly in hospitality, and aims to boost Saudi GDP significantly while creating jobs. The project is well-positioned to attract millions of tourists, especially from India, contributing to the Kingdom’s expanding tourism sector.
Saudi Arabia’s ambitious $63.2 billion project, known as the City of Earth, aims to develop a significant real estate and tourism hub around Diriyah, a site rich in history as the birthplace of the modern Saudi kingdom. This initiative includes the UNESCO World Heritage Site of At-Turaif and is poised to reinforce Saudi Arabia’s commitment to enhancing its relationship with India, a crucial trading partner with a trade volume of approximately $52.8 billion in 2022-23.
Inzerillo emphasized that over 3,000 Indian companies are currently operating in various sectors within Saudi Arabia, including construction, IT, energy, and telecommunications. This presence significantly strengthens the economic ties between the two nations, as Diriyah seeks to collaborate with businesses both within the Kingdom and in India. The project, backed by Saudi Arabia’s Public Investment Fund, promises vast investment opportunities across multiple asset classes.
The scope for Indian investment in Diriyah is extensive. With numerous partners already involved, Indian companies have opportunities across urban development sectors. Inzerillo noted that there is a growing interest from Indian hospitality firms, with the Taj Hotel group planning to establish its 250th property at Diriyah and an Oberoi hotel nearby, contributing to the area’s luxury accommodation offerings.
Inzerillo shared that various tailored investment packages are available for Indian firms looking to enter segments such as mixed-use, residential, hospitality, office, education, and healthcare assets. He is confident in the role Indian companies will play in the success of the City of Earth project, which aims to attract millions of tourists and is forecasted to add $18.6 billion to Saudi GDP while creating approximately 178,000 jobs.
Diriyah is set to be a focal point for tourism in Saudi Arabia, with attractions like At-Turaif, which alone has received over three million visitors since its reopening. The objective is to support Saudi Arabia’s growing tourism sector, anticipating that Indian visitors will form a considerable portion of the expected 50 million visits annually by 2030, which reflects the escalating importance of the Indian market.
Inzerillo highlighted the established benefits of collaboration, noting that Diriyah employs over 200 individuals from India in various professional fields. He also highlighted ongoing discussions with Indian business leaders, as numerous groups of CEOs are visiting Diriyah to explore investment opportunities within this transformative project.
The City of Earth project in Diriyah is set to significantly enhance economic ties between Saudi Arabia and India, offering vast investment opportunities in various sectors. The initiative is expected to attract numerous Indian firms, particularly in hospitality, thereby contributing positively to Saudi Arabia’s GDP and job creation. With a strong focus on tourism and ongoing collaborative efforts, the project’s success is contingent on the active involvement of Indian businesses.
Original Source: m.economictimes.com
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