Saudi Arabia is getting ready for the twilight of the oil age by creating the world’s largest sovereign wealth fund for the kingdom’s most prized assets.
Over a five-hour conversation, Deputy Crown Prince Mohammed bin Salman laid out his vision for the Public Investment Fund, which will eventually control more than $2 trillion and help wean the kingdom off oil. As part of that strategy, the prince said Saudi will sell shares in Aramco’s parent company and transform the oil giant into an industrial conglomerate. The initial public offering could happen as soon as next year, with the country currently planning to sell less than 5 percent. Continue reading
China launched a new round of a geopolitical game of poker with the United States. The Celestial Empire bets on the Islamic world. The goal is to expand its resource base to compete with the U.S. and Europe against the backdrop of a new scientific and technological revolution as well as the world’s large-scale political, economic, and financial reformatting. A hint at Beijing’s Islamic maneuver came with a recent tour of China President Xi Jinping to Saudi Arabia, Egypt, and Iran, with the conclusion of the bulk package of agreements with each of the mentioned actors. This tactical move came as part of the Silk Road Economic Belt and Marine Silk Road of XXI Century strategic initiatives. Continue reading