Saudi Crown Prince Mohamed bin Salman (MBS) declared intention to hold 6% of Technogym (TGYM.MI) share capital after an 111-million-euro ($120.83 million) investment and intends to be a long-term minority shareholder in the Italian fitness-equipment maker.
The investment will be implemented by MBS’s NEOM Investment Fund (NIF).
Saudi Arabia has entered a dangerous phase due to the failed policies of Crown Prince, Prince Mohammed bin Salman (MBS). The oil kingdom’s treasury is no longer able to spend on vital and important projects due to the lavish spending on unreal projects.
MBS earlier declared plans to build five major investments with Chinese and Korean firms at Taif Investment Forum.
MBS also plans to open its domestic aviation industry to more competition, part of an overhaul that the government estimates will drive a $100 billion investment in the sector by the end of the decade.
Among the plans laid out by the General Authority of Civil Aviation, airports and ground-handling operations will be allowed to be privatised, and airports will also receive an incentive plan to raise their quality standards, according to a statement. License processes for ground handling and air cargo service providers will also streamlined, according to the release.
Economic experts, however, cautioned that privatizing airports will result in fewer Saudi workers and a greater reliance on skilled foreign labor, raising unemployment rates.
The move will also result in higher rates of social and economic inequality, the deterioration and elimination of the middle class, and higher rates of inflation and poverty nationwide.
Apart from the adverse impacts on the economy, privatization may also have political repercussions in certain situations. Most prominently, it can lead to the infringement of a state’s sovereignty by foreign entities like the World Bank and the International Monetary Fund. Airport management firms will be able to enforce security regulations from their perspective and permit global security surveillance.
The financial situation in the Saudi Kingdom was deteriorated to the point that the MBS decided to sell the most vital sectors in the country, the health sector, to private industry.
Economic sources revealed that MBS seeks to sell 50% of the health sector to private investors. The sources indicated that MBS is no longer able to spend on the vital sector in the Kingdom.
Since taking office, MBS has done nothing worthful for the Saudi society but wars and crises. In contrast, Saudi Arabia has witnessed an unprecedented economic and political crisis.
In a failed attempt to cover up his failure, MBS has declared several projects to whitewash his dark reality.
Sources familiar with the matter revealed that MBS has ambitious plans to create a city dedicated to space exploration, known as the “Science Fiction Space City” or “Mars War.”
The initial phase of this project is expected to cost 5 billion Saudi riyals, which is approximately equivalent to 1.3 billion dollars. However, the total cost could potentially surpass 20 billion riyals in its final phase.
Riyadh is now seeing more than $64 billion in entertainment investment, with a significant proportion of that going to the live music industry.
