Saudi Arabia's NEOM: A US$500 Billion City Being Built 'For A New Way Of Living' Saudi Arabia's Crown Prince Mohammed bin Salman announced on Tuesday the Kingdom's most ambitious plan yet to free itself from dependency on oil.

You're reading Entrepreneur Middle East, an international franchise of Entrepreneur Media.

NEOM Project

Saudi Arabia's Crown Prince Mohammed bin Salman announced on Tuesday the Kingdom's most ambitious plan yet to free itself from dependency on oil. Prince Salman revealed a US$500 billion proposal to build a new transnational "independent special zone" on the Red Sea coastline that extends into Jordan and Egypt. Strategically located in proximity to international markets and trade routes, the 26,500 square km zone -dubbed as NEOM- is set to be powered by renewable energy, and has its eyes on incorporating elements of key sectors such as energy, advanced manufacturing, biotech, and media & entertainment.

Announced at the Future Investment Initiative in Riyadh, NEOM (short for New Future) will operate independently from the "existing governmental framework," and is said to be funded by the Saudi government, its sovereign wealth fund, and local and international investors, according to a statement. Dr. Klaus Kleinfeld, the former Chairman and CEO of Alcoa and Arconic Inc. has been appointed as CEO of NEOM. "The NEOM project is set to transform the Kingdom into a leading global innovation and trade hub through the introduction of value chains of traditional and future industries and technologies to stimulate local industry, private sector job creation and GDP growth in the Kingdom," reads an official note on NEOM, explaining the project's mission.

The completion of the first stage of the project is expected to be by end of 2025, and its contribution to the Kingdom's GDP is projected to reach "at least $100 billion by 2030." It's exciting times ahead for Saudi Arabia as the world watches how the Kingdom follows through on its ambitious economic and social upheaval plans.

Related: Saudi Arabia Reveals Strategies For A New Era Going Beyond Oil

Related Topics

Starting a Business

8 Inspiring Tips for Aspiring Entrepreneurs

On this week's Jeff Fenster Show, the Global Entrepreneurship Network's Jeff Hoffman shares advice every budding entrepreneur should follow.

Marketing

5 Scrappy Ways to Create Quick Marketing Wins

Marketers are under pressure to create both short-term and long-term successes. Here's how you can create quick wins easily alongside your bigger strategy.

Leadership

The Futurist: H.E. Ohood Al Roumi, UAE Minister Of State For Government Development And The Future

Al Roumi has been tasked with shaping a progressive government for the UAE, while also keeping an eye on the horizon of tomorrow, and thereby enhancing the country's preparedness for the future, as well as for the opportunities it presents.

Business News

This Influencer Has Nearly 150,000 Instagram Followers and Makes Over $10,000 a Month. There's Just One Catch—She's Not Real.

Aitana López has over 149,000 Instagram followers and brands love her. Is she the future of social media marketing?

Business Ideas

55 Small Business Ideas to Start in 2023

We put together a list of the best, most profitable small business ideas for entrepreneurs to pursue in 2023.