Al-Jadaan: No room for ego as Saudi giga projects face continual reassessment The finance minister says the deficit is a policy choice to fund productive programs, with national debt to remain well below 50% of GDP

NEW YORK — Saudi Finance Minister Mohammed Al-Jadaan said Saudi Arabia remains committed to recalibrating its economic priorities under Vision 2030, emphasizing that giga projects and investments will be continually reassessed to ensure long-term value, productivity, and sustainability.
Speaking on Tuesday at the IMF–World Bank Week 2025 during a session hosted by the Atlantic Council, Al-Jadaan said the Kingdom's leadership has made it clear that projects will not continue out of "ego" or attachment to our plans.
"We should totally disconnect these programs from an ego that we started implementing something, promoted it, and therefore need to stick to it," he said, citing directives from Crown Prince Mohammed bin Salman's recent speech to the Shoura Council.
"If any strategy or project does not make sense to continue, we will have no hesitation to change it, stop it, or extend it."
He said both the Public Investment Fund (PIF) and the government have undertaken deep reviews of their portfolios to align spending with evolving national priorities.
"The PIF board has gone through tremendous review of their portfolio and adjusted a lot of it," he said.
"In government, we spent almost two years recalibrating. We accelerated areas like logistics because it enables the tourism, industrial, and manufacturing sectors."
Al-Jadaan highlighted that Saudi Arabia is "doubling down" on its industrial base, tourism, and technology.
"If you see the tourism numbers, the most ambitious person in government did not dream we would reach where we are now," he said, noting that the Kingdom surpassed its 2030 target of 100 million tourists last year.
He added that in the first half of 2025, Saudi Arabia grew its surplus in the balance of payments on services significantly more than in the same period of 2024.
On technology, the minister said the Kingdom will focus on specific areas where it holds a competitive advantage rather than "riding the hype" of artificial intelligence.
"Some nations are trying to do everything in AI. That's very risky," he said.
"You need to be selective about what part of the AI value chain you have an advantage in and double down on it. That's what we are doing."
Addressing fiscal policy, Al-Jadaan said Saudi Arabia's debt strategy remains conservative.
"We have one of the lowest debt-to-GDP ratios in the G20," he said.
"If we choose to have a surplus in our budget, we can. The deficit is by policy choice, borrowing to spend on strategies and programs that create productivity, jobs, and business opportunities."
He stressed that the key to sustainable borrowing lies in productivity. "If your borrowing cost is less than your growth rate, you are on the good side," he said.
"When you borrow, make sure it's directed to a productive asset that gives yield not only now but for generations to come."
Al-Jadaan also addressed questions about future debt thresholds, saying Saudi Arabia is unlikely to approach a 50% debt-to-GDP ratio.
"Even if we reach 50%, which is unlikely, the issue is not the number, it's where the money goes," he said.
"If it's spent on key infrastructure and human capital, that's an investment. Spending on human capital alone yields nine times the investment in one generation."
He said Saudi Arabia's competitive edge in AI development will stem from its energy and demographics.
"Our energy mix is moving in the right direction — 50% renewable, 50% gas," he said. "We're investing over $60 billion in expanding our gas network and a similar amount in renewables and grid upgrades, which will enable data centers powered by affordable and reliable energy."
Al-Jadaan added that Saudi Arabia's young and tech-savvy population — with 70 percent under 35 — is another strategic asset.
"You will be able to make sure that these youth, these talents, are linked to adapt AI and be available to investors," he said.
On human capital, Al-Jadaan said flexibility and adaptability are key skills for the next generation.
"You don't need to worry about your major, what matters is your ability to adapt to change," he said.
"You don't have to be educated in AI to use it as a tool. Many jobs of the future don't exist yet, so we must ensure our youth can adapt when they come."