Saudi Arabia Transfers $163bn Stake in Aramco to Sovereign Wealth Fund

Saudi Arabia has transferred a $163bn stake in Aramco to its sovereign wealth fund as part of efforts to modernize the economy and reduce reliance on oil. The transfer of 8% of Aramco to the Public Investment Fund now effectively gives the fund control of 16% of Aramco. This move reflects Crown Prince Mohammed bin Salman's Vision 2030 strategy to modernize the kingdom. Aramco described the transaction as a 'private transfer' that will not impact its operations or dividend distribution policy. The larger stake in Aramco will provide substantial dividends to fund the expansion of the sovereign wealth fund, which has a target of managing $1tn in assets by 2025.