Saudi Arabia plans to invest over $267 billion in its logistics sector, aiming to become a global hub by 2030. At the Global Logistics Forum 2024 in Riyadh, Transport Minister Saleh bin Nasser Al-Jasser announced that $53 billion has already been allocated for this initiative.
Al-Jasser highlighted Saudi Arabia’s improved global rankings, noting a rise of 17 places in the Logistics Performance Index and 14 places in the Global Connectivity Index. This progress aligns with the Vision 2030 strategy led by Crown Prince Mohammed bin Salman, focusing on modernizing transport and logistics networks across the Kingdom.
The strategy aims to integrate transport systems and enhance logistics operations, positioning Saudi Arabia as a key trade hub connecting Asia, Europe, and Africa. Al-Jasser emphasized the importance of a resilient supply chain during global disruptions.
Sustainability and Technology
Al-Jasser stressed the country’s commitment to sustainability, citing the elimination of 1 million truck journeys via the rail network, reducing carbon emissions. He also noted the transformative role of technology, particularly through AI, blockchain, and smart infrastructure, in reducing costs and enhancing efficiency. The Saudi Green Initiative supports these efforts with investments in green logistics.
Private Sector Involvement
Private sector investment is crucial, contributing about 35% of the total investment. Incentive packages have been introduced to attract further private investment in green mobility and logistics. Key agreements signed during the forum include a maritime cooperation deal with Egypt and a partnership to develop an e-commerce hub at King Salman International Airport.
Global Logistics Forum’s Vision
The Global Logistics Forum, held at the King Abdullah Financial District, aims to shape global trade’s future by promoting efficiency and sustainability. The event fosters international collaboration by showcasing innovations in logistics, crucial amidst economic challenges and supply chain disruptions.
Al-Jasser concluded by underlining Saudi Arabia’s historical significance as a trade hub, driven by advanced infrastructure and visionary strategies.
