Saudi Arabia's NEOM Delays The Line Project Until After 2030

Saudi Arabia's NEOM has delayed further work on The Line until after 2030. The project, originally envisioned as a 170-kilometer development of dual skyscrapers, had been projected to cost more than $1 trillion. The postponement follows a strategic review conducted by NEOM Chief Executive Aiman al-Mudaifer after his appointment last year. 5 million and then 300,000.

NEOM plans to spend about $3 billion on further development of OXAGON, an industrial city with a Red Sea port. The port is part of efforts to create new trade routes after the closure of the Strait of Hormuz, and the company is investing in utilities and data connectivity to attract AI firms.

NEOM has also postponed plans to develop tourism destinations along the Red Sea coast and investments in the Trojena mountain resort until after 2030. Trojena had been scheduled to host the 2029 Asian Winter Games.

The decisions come amid widening budget deficits, lower-than-expected foreign investment, and questions about project feasibility. Saudi Arabia recorded its biggest quarterly deficit since 2018 as spending increased to offset effects of the Iran war and a slowing economy.

Finance Minister Mohammed al-Jadaan said last year that the government would adjust or defer projects without hesitation if needed. Public Investment Fund has also stopped funding LIV Golf after investing $5 billion and put plans for a giant cube in Riyadh on hold.