Saudi Arabia’s Public Investment Fund (PIF) has signed a memorandum of understanding (MoU) with Bahrain’s Mumtalakat Holding Company to boost cooperation and investment in Bahrain’s strategic economic sectors.

The MoU will offer multiple benefits to PIF and its portfolio companies by providing investment opportunities in Bahrain. The pact will create new opportunities for the private sector in both countries.

“The memorandum signed today aims to enhance cooperation between Mumtalakat and PIF by establishing strategic partnerships and stimulating partnership opportunities for the private sector to support the diversification of the economy in the two countries,” said Shaikh Abdulla bin Khalifa Al Khalifa, CEO of Mumtalakat Holding Company.

Yazeed A. Al-Humied, deputy governor and head of MENA Investments at PIF said that the MoU supports the fund’s objectives of building long-term strategic regional partnerships to create more joint opportunities for the private sector.  

As part of the agreement, PIF aims to increase its investments in multiple targeted sectors in Bahrain. Meanwhile, Mumtalakat will explore appealing investment opportunities for cooperation and partnership with PIF.

The MoU follows the establishment of the Saudi-Bahraini Investment Company, a PIF subsidiary that aims to invest up to $5 billion in multiple sectors across Bahrain.

Since 2017, PIF has established 93 companies in 13 strategic sectors locally and globally.

Mumtalakat Holding owns shares in more than 50 commercial companies across several sectors.

(Editing by Seban Scaria