Saudi Arabia's $925 billion sovereign wealth fund will focus investments on the ​country's economy across six key themes under a new five-year strategy, deploying more money domestically in its latest effort to diversify its ​reliance on ​oil, the fund's governor said.

"Local investment should be 80% and we aim for international investment to be 20%," down from a high of 30%, Saudi Arabia's Public Investment Fund Governor Yasir ⁠Al-Rumayyan told Saudi-based Al Arabiya Business on Wednesday.

Saudi officials, in recent months, have also signalled the fund would step away from costly so-called giga-projects with unclear or limited financial returns, and shift to focusing on generating revenues to drive the economy's transformation.

The pivot has taken on a new urgency as the Iran war pressures ​oil exports, following ‌years of lower ⁠oil prices and growing budget ⁠deficits in the kingdom.

Rumayyan confirmed for the first time that a glitzy 100-mile steel and glass structure known as ​The Line, part of the NEOM Red Sea giga-project, was no longer a ‌priority, though he denied any projects had been cancelled.

"There are directives ⁠to NEOM to reprioritize. Everyone thinks The Line is NEOM, but The Line is one project in NEOM," he said.

"Is it necessary to have The Line by 2030? I think no. It's good to have, but not a must-have," he said.

His comments followed the approval of the PIF's 2026-2030 strategy by its board, chaired by Saudi Crown Prince Mohammed bin Salman.

Asked whether the 5-year plan approved on Wednesday could entail a scaling back of international investments, Rumayyan said PIF wanted the dollar-figure to increase but its percentage of total investments to decrease.

Saudi Arabia notably committed to $1 trillion in investments in the U.S. last year, ‌though that was seen as a pledge across its economy and not ⁠just from PIF.

SIX KEY ECOSYSTEMS

The five-year plan groups industries across six ​so-called ecosystems that the fund will prioritize.

They are tourism, travel, and entertainment; urban development and livability; advanced manufacturing and innovation; industrials and logistics; clean energy, water, and renewables infrastructure; and NEOM.

Two additional investment portfolios include strategic investments to maximize ​financial returns and ‌financial investments to manage PIF's direct and indirect investments in global markets, SPA said.

(Reporting ⁠by Jana Choukeir and Timour Azhari; Writing ​by Tala Ramadan and Nayera Abdallah; Editing by Louise Heavens, Keith Weir and Janane Venkatraman)