Saudi Arabia's mega project NEOM on Tuesday set up a $10 billion logistics joint venture (JV) with DSV, a Denmark-based freight forwarder.

NEOM will hold 51% of the JV with DSV holding the remaining 49%, the companies said in a joint statement.

The JV will "provide end-to-end supply chain management, development and investments in transport and logistics assets and infrastructure as well as transport and delivery of goods and materials within NEOM".

The venture is expected to boost the Saudi economy, through infrastructure development and creating more than 20,000 job opportunities.

NEOM, billed as the city of the future, is being built on the Red Sea coast. It is part Crown Prince Mohammed bin Salman's plan to diversify the country’s oil-dependent economy.

(Reporting by Brinda Darasha; editing by Seban Scaria)