The ‘City of Earth’ project in Saudi Arabia, valued at $63.2 billion, aims to revitalize the historical site of At-Turaif while attracting significant Indian investment. With strong bilateral trade ties valued at $52.8 billion, the initiative seeks to bolster cooperation between India and Saudi Arabia, particularly in hospitality and urban development, while anticipating growing tourism. The project is expected to create substantial economic impact and job opportunities.
Saudi Arabia is embarking on a monumental $63.2 billion project called ‘City of Earth,’ which aims to revitalize the historical roots of the modern Saudi kingdom. The initiative includes the UNESCO World Heritage Site of At-Turaif, highlighting the significance of this development both culturally and economically. The project is attracting substantial interest from leading Indian enterprises, including the Tata and Oberoi groups, as it presents extensive investment opportunities.
Peter Inzerillo, the CEO of Diriyah Gate Development Authority, emphasized the critical role India plays as one of Saudi Arabia’s major trading partners, with bilateral trade reaching approximately $52.8 billion in 2022-23. Speaking from the World Economic Forum Annual Meeting in Davos, Inzerillo noted that more than 3,000 Indian companies are already actively contributing to various sectors in the Kingdom, such as construction and telecommunications.
The Diriyah project is backed by the Saudi Public Investment Fund and promises a myriad of investment opportunities across diverse asset classes. Inzerillo stressed that while many international partners are involved, there exists significant potential for Indian companies in urban development, hospitality, and beyond. He underscored the importance of collaboration with firms based in both Saudi Arabia and India.
In the hospitality sector, there is noteworthy interest from Indian companies, particularly with the Taj Hotel group projected to unveil its 250th site featuring 202 rooms in Diriyah. Furthermore, an Oberoi Hotel is also planned near the new equestrian and polo center. Inzerillo indicated that more than 40 luxury hotels are currently under construction in the area.
Additionally, he mentioned that customized investment packages are being developed to accommodate Indian investors, covering various sectors such as residential, healthcare, and education. Given India’s substantial economic impact in the Kingdom, Inzerillo expressed confidence in the Indian firms’ contribution to the ongoing success of the City of Earth.
Diriyah is poised to play a pivotal role in promoting Saudi Arabia to international tourists, especially from India, as major attractions like At-Turaif and Bujairi Terrace have already welcomed over three million visitors. The Kingdom anticipates reaching 50 million annual visitors by 2030, with Indian tourists expected to feature prominently in this growth.
As India’s second-largest trading partner, the economic ties between India and Saudi Arabia are strengthened through projects like Diriyah, which is projected to contribute $18.6 billion to Saudi Arabia’s GDP and generate approx. 178,000 jobs. Inzerillo remarked on the ongoing partnerships with Indian firms and the potential influx of tourists from India, reaffirming his commitment to expanding investment opportunities.
The $63.2 billion ‘City of Earth’ project in Saudi Arabia is a significant undertaking that highlights the Kingdom’s historical legacy while offering expansive investment opportunities for Indian companies. With a growing bilateral trade relationship and a focus on tourism, Diriyah aims to strengthen economic ties and enhance cultural exchange, promising a prosperous future for both nations. Inzerillo’s optimism underscores the vital role of Indian firms in the project’s success and the broader vision for Saudi Arabia’s development.
Original Source: m.economictimes.com
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