Riyadh
Saudi Arabia’s Dream Project Neom City seems to be getting caught in crisis. Semafor has reported in its report on Friday that NIMM is considering trimming 1,000 employees. This is 20 percent of the total employees working in this project. This shows that the Saudi Arabia government is shortening its major Giga project.
Semaphor has reported that NIMM is considering retrenchment under a comprehensive change. Under this, more than 1,000 employees can be transferred to Riyadh except the site of Neom located on the north-western Red Sea coast. The report also said that these schemes have not yet been finalized. There may be more changes in them.
Neom Saudi Government’s plan
This report of Semafor is the newest in the series of articles. This shows that the Saudi Arabia government is curbing its ambitions in the case of Neom. The purpose of the Neom is to become a city of Luxury hotels, Ski Resort, 170 km long city and an industrial park on the Red Sea Coast of Saudi Arabia.
The Niom Greek word is made up of a mixture of Neos (new) and Arabic words Mustabbal (future). In such a situation, Neom means new future. It is part of Mohammed bin Salman’s Project 2030. The city of Neom will be spread over 2,63,000 hectares. Through this, Mohammed bin Salman’s purpose is to reduce the dependence of Saudi’s economy with oil.
Doubt on project!
Before the semaphore, Bloomberg has recently reported in a report that Saudi Arabia has asked several consulting firms to review the viability of ‘The Line’. The Financial Times claimed earlier this year that Saudi Arabia started a comprehensive review of Neom as it has many questions.
Neom’s practicality has long been a matter of debate. Especially there is doubt among investors who feel that Saudi Arabia will hardly be able to attract people to live in this futuristic remote city. Neom is currently being funded by Saudi Arabia’s 1 trillion public investment fund (PIF). However, due to limited interest of foreign investors, the project has faced failures.