Riyadh — Mubasher: State-backed China Everbright Bank Company is reportedly in talks to contribute capital to a $20 billion joint investment fund being established by China and Saudi Arabia, according to people familiar with the matter.
The joint fund will be used to invest in strategic megaprojects in the two Asian nations.
China’s state-owned Silk Road Fund is separately considering contributing in the investment vehicle, Bloomberg News reported on Tuesday, citing the people.
The Saudi Industrial Development Fund (SIDF) is also backing the pool of capital, they added.
China, the world's largest second economy, has previously set up joint investment funds with other countries in an attempt to boost its political clout and revive ancient trading routes under the “One Belt, One Road” project, according to the New York-based news agency.
Saudi Arabia’s Public Investment Fund (PIF) last October announced a $500 million investment in the Russia-China Investment Fund, which targets consumer and infrastructure deals in the two countries.
