In a strategic move to deepen trade and investment ties between the United Kingdom and Saudi Arabia, the Public Investment Fund (PIF) and UK Export Finance (UKEF) have signed a memorandum of knowing (MoU) to facilitate up to $6.8 billion in financial support. The agreement aims to promote greater UK company involvement in PIF-led projects and initiatives across the Kingdom.
The signing took place during the ninth edition of the Future Investment Initiative (FII) in Riyadh, attended by UK Chancellor Rachel Reeves, highlighting the growing bilateral collaboration.
Purpose
The MoU establishes a structured financial framework to support PIF and its portfolio companies in procuring goods and services from UK-based suppliers. UKEF, the UK’s official export credit agency, will make available its existing market cover for Saudi Arabia – worth up to $6.8 billion – to help fund a pipeline of new and ongoing PIF projects.
This initiative is expected to open up a significant number of supply contracts for British exporters, particularly those with expertise in infrastructure, advanced manufacturing, energy, and technology.
Strategy
This collaboration aligns with PIF’s broader strategy to diversify funding sources and tap into global financial partnerships. By working with a reputable institution like UKEF, PIF aims to provide its portfolio companies with greater access to international capital and expand their presence in global markets.
According to PIF, the deal reflects its commitment to delivering transformative projects that align with Saudi Arabia’s Vision 2030 – the nation’s long-term roadmap to economic diversification and development.
“This MoU reflects PIF’s strong partnerships with a wide group of leading global financial institutions. This collaboration will further enable our portfolio companies to access international capital and expertise and deliver transformative projects,” a PIF representative said.
UKEF’s Role
For UKEF, this partnership reinforces its mission of helping UK businesses export and grow internationally, particularly in high-growth markets like Saudi Arabia.
The agency has a track record of supporting major projects aligned with Vision 2030. One example is the $700 million Islamic Murabaha facility for Six Flags Qiddiya City, guaranteed by UKEF. The new MoU builds on this history, aiming to expand UK companies’ involvement across multiple sectors.
“Through this landmark signing, we are not just opening doors – we are creating a gateway that will provide valuable new supply contracts,” said a UKEF official. “This partnership demonstrates the UK’s commitment to supporting British exporters in one of the world’s most dynamic markets.”
Vision 2030 Opportunity
Vision 2030 is Saudi Arabia’s strategic plan to reduce its dependence on oil, diversify its economy, and develop public service sectors such as health, education, infrastructure, recreation, and tourism. It presents significant opportunities for international companies, especially those from the UK, which brings a strong reputation for delivering high-quality infrastructure, financial services, and advanced technology.
Through this MoU, British businesses stand to gain from preferential access to major projects supported by PIF, which manages a growing portfolio across industries including clean energy, tourism, logistics, entertainment, and real estate.
Global Impact
As one of the world’s most active sovereign wealth funds, PIF plays a central role in shaping Saudi Arabia’s economy and influencing global investment trends. The fund holds credit ratings of Aa3 (Moody’s) and A+ (Fitch), both with stable outlooks, underscoring its financial strength and credibility in the global capital markets.
The newly signed MoU highlights a shared ambition between the UK and Saudi Arabia to deepen economic cooperation and foster sustainable, long-term growth through strategic partnerships and high-impact development.
FAQs
What is the value of the UK-Saudi MoU?
The MoU covers up to $6.8 billion in UKEF financial support.
Who signed the MoU in Riyadh?
PIF and UK Export Finance signed the agreement.
What is the goal of the MoU?
To support UK companies supplying PIF-led Saudi projects.
How does this help UK exporters?
It provides access to contracts and funding for Saudi projects.
