For nearly a decade, Saudi Arabia has been chasing an ambitious dream: transforming itself from an oil-dependent kingdom into a global hub for tourism, technology, and entertainment.
Dubbed Vision 2030, the plan has dazzled the world with its jaw-dropping projects, but recent financial realities are forcing a rethink.
With oil prices lingering around $60 a barrel—far below the $100-per-barrel assumption underpinning many of its mega-investments—the kingdom is now slowing down its $2 trillion strategy.
This financial reality has put crown prince Mohammed bin Salman in a tricky position, balancing grand ambitions with fiscal responsibility.
Vision 2030’s Bold Ambitions Face Reality
Vision 2030, launched in 2016, aimed to diversify Saudi Arabia’s economy and move it beyond oil.
The plan poured hundreds of billions into gigaprojects that promised to redefine the future of city living.
Among them was The Line, a futuristic city envisioned to stretch 110 miles long, soar 1,600 feet high, and house nine million people—all with no cars, streets, or carbon emissions.
But the fantasy collided with economic reality. Oil revenue, still more than half of the kingdom’s income, hasn’t reached triple digits since 2022. That shortfall has forced Saudi officials to rethink their priorities.
The Line Gets Scaled Back Dramatically
Jerry Inzerillo, an American-born adviser to MBS, told the Times that Saudi Arabia is “making a course correction” due to its financial situation.
Instead of a city spanning over 100 miles, The Line will now stretch only a few miles and accommodate 300,000 people—a fraction of its original plan.
Inzerillo admitted the project “might more accurately have been positioned as a laboratory of what quality of life might look like in 2040,” reflecting a shift from grandiose vision to more measured experimentation.
Other Gigaprojects Face Delays or Cancellations
The Line isn’t the only project feeling the pinch. Trojena, a mountain resort intended to host the 2029 Asian Winter Games, won’t be ready on time.
Saudi officials now predict it may open in 2032, leaving South Korea to step in for the games.
New Murabba, a massive downtown district in Riyadh designed to house 300,000 people, is also delayed.
Michael Dyke, New Murabba’s CEO, explained: “We took a decision to slow down before speeding up.
The worst thing is to make lots of fanfare only to find that you don’t have substance behind it.”
Its completion is now projected for 2040, potentially later.
Some projects have been completely scrapped, catching the ire of MBS himself.
Sindalah, a $1 billion Red Sea island resort meant to host the world’s largest superyachts, was abandoned after a VIP opening that featured celebrities like Alicia Keys and Will Smith.
The crown prince criticized it for design flaws and wasteful spending, especially after reports of extravagant crocodile skins used in interiors.
Select Projects Continue, Priorities Shift to Technology
Despite setbacks, some deadlines remain sacrosanct.
The 11 stadiums needed for the 2034 men’s World Cup and the infrastructure for Expo 2030 are still on track.
Saudi Arabia’s investments in entertainment and tech also continue unabated.
The kingdom recently acquired Electronic Arts for $55 billion and is funding a massive AI company building desert data centers.
Faisal Alibrahim, Saudi’s economy minister, explained: “We’re reprioritising a little bit towards sectors that need it the most, and today it’s technology, artificial intelligence.”
Lessons Learned and Looking Ahead
Years of hype and spectacle—dubbed the “Dubai disease” by one anonymous business leader—have shown the limits of glitzy projects without tangible impact.
Officials now admit that while real estate and flashy developments grabbed headlines, it’s the substantive economic reforms that truly affect labor markets and growth.
Saudi Arabia is taking a step back to regain financial stability, with officials noting they may need “another two to three years of high oil prices to pay down our debts.”
Optimism remains that oil prices will rise, enabling the kingdom to get back on track with its long-term plans.