Saudi crown prince launches strategy to make kingdom a logistics hub

[CAIRO] Saudi Arabia's Crown Prince Mohammed bin Salman on Tuesday launched a strategy that aims to make the kingdom a global logistics hub and boost the sector's contribution to non-oil revenues to about 45 billion riyals (S$16.14 billion) by 2030, state media said.

The plan envisions the launch of a new national airline to increase the number of international destinations to over 250 and double air cargo capacity to more than 4.5 million tonnes.

The development of ports and other infrastructure, such as rail and road networks, would allow shipping capacity to reach more than 40 million containers a year, the state news agency SPA said.

The plan would increase the transport and logistics sector contribution to gross domestic product to 10 per cent from 6 per cent, it added.

"The comprehensive strategy aims to position Saudi Arabia as a global logistics hub connecting the three continents," said de facto ruler Prince Mohammed, adding that it would also enhance fiscal sustainability and quality of life across the kingdom.

The prince has launched an ambitious plan to diversify the economy of the world's largest crude exporter and reduce its reliance on oil revenues by 2030.

REUTERS