Saudi Arabia Shifts Billions from Aramco Oil Shares to Wealth Fund

According to state media reports on Sunday, Saudi Arabia has transferred another four-percent stake in the Aramco oil giant, valued at tens of billions of dollars, to the country’s sovereign wealth fund.

In a bid to diversify and open up its economy, the oil-rich kingdom has made another strategic move. Following last year’s transfer of four percent of Aramco shares, valued at a whopping $80 billion at the time, this latest step is part of a broader campaign to boost economic growth and stability in the region.

According to the Saudi Press Agency, the authorities have not disclosed the value of the most recent shares transferred from the world’s largest oil exporter to Sanabil Investments. This firm is under the control of the Public Investment Fund (PIF), which is led by Crown Prince Mohammed bin Salman.

The prince, Saudi Arabia’s de facto ruler, billed the move as part of a push “to boost and diversify the national economy and expand investment opportunities”, according to the report.

The shares of the mostly state-owned oil giant moved last year went directly to the PIF, one of the world’s biggest sovereign wealth funds with more than $620 billion in assets.

Prince Mohammed said the latest transfer will “solidify PIF’s strong financial position”.

He also stressed that the state “will remain Saudi Aramco’s largest shareholder following the transfer, with total ownership of (90.18 percent) of the company’s shares,” the report said.