NEOM has signed a credit facility agreement worth 10 billion riyals, which will be used to meet NEOM’s short-term financing needs, at a time when its major projects are seeing significant progress and accelerated development.

This credit facility is structured as a murabaha and is intended to support the progress of key projects, including “The Line,” ”Oxagon,” ”Trojina,” and ”Sindala.”

Supporting Infrastructure Projects

NEOM CEO, Engineer Nazmi Al-Nasr, said: ” The credit facilities, backed by a group of leading financial institutions in the Kingdom, align with our comprehensive financing strategy by leveraging a diverse range of financial sources to support our flagship infrastructure projects, in line with the economic objectives of the Kingdom’s Vision 2030. We appreciate the support of NEOM’s banking partners for providing a diverse range of financing options that support the completion of this project, which is one of the largest in the world.”

Credit facilities from 9 major banks

The new financing agreement attracted widespread interest from major financial institutions in the Kingdom, with nine banks participating, led by the Saudi National Bank, Riyad Bank, and First Saudi Bank; and including: Al Rajhi Investment Banking Company, Alinma Bank, Arab National Bank, Al Bilad Bank, Saudi Investment Bank, and Al Jazeera Bank.

It is worth noting that NEOM and its partners signed a financing agreement earlier in 2023 worth 23 billion riyals to establish “NEOM Green Hydrogen,” NEOM also signed a 3-billion-riyal agreement to finance part of the project to develop Sandala Island and prepare it to welcome visitors this year.