Saudi Arabia’s Ministry of Investment has signed a memorandum of understanding (MoU) with French company Alstom to explore investment opportunities that will support the kingdom’s sustainable transport sector.
Alstom is a marketer and developer of transport systems. It offers a wide range of roll stocks such as tramways, metros, suburban and regional trains, high speed and very high-speed trains, locomotives, and components.
The MoU aims to explore the future of sustainable transport in the Kingdom of Saudi Arabia and identify investment opportunities in the public transport sector related to railway infrastructure, sustainable transport technologies, and reducing carbon emissions, in line with the objectives of the Kingdom’s Vision 2030.
The deal will also look into the establishment of Alstom’s regional headquarters in Saudi Arabia, according to the statement. Alstom is a dedicated and long-standing partner of Saudi Arabia’s transportation and mobility development.
The memorandum of understanding was signed in presence of the Undersecretary of the Ministry, Mr. Fahad Al-Naeem.
Saudi Arabia is currently developing the $23 billion Riyadh Metro, the kingdom’s second rail transport system that comprises six main lines measuring 176km.
“In alignment with the Kingdom’s overall growth and in response to the ever-increasing public demand for the expansion of land transportation services, Saudi Arabia has continuously reiterated its commitment to developing an additional 10,000km of rail and metro by 2030. Saudi Arabia is expected to have spent over $48 billion on rail projects throughout the Kingdom by 2024,” as per the reports.
Recently, the Ministry of Investment established the ‘Saudi Investment Promotion Authority’ (SIPA) in order to boost regional and international investments in the Kingdom’s public and private sectors.