It seems the project’s finances may prove to be a sticking point, however, since the kingdom’s sovereign wealth fund has yet to approve Neom’s budget for 2024, Bloomberg reported.
The Bloomberg report said the realities of the trillion-dollar investments in Saudi Crown Prince Mohammed bin Salman’s Vision 2030 project, of which Neom is the centerpiece, were starting to cause alarm at the highest level of the Saudi government.
Representatives for Neom did not immediately respond to a request for comment from Business Insider, made outside normal working hours.
Saudi Arabia has been developing the mega-city in a desert bordering the Red Sea since 2017. The nation has previously pledged at least $500 billion to make it happen and is seeking out further investment.
The city is part of Prince Mohammed bin Salman’s Vision 2030 project, which aims to revolutionize Saudi society and reduce the nation’s dependence on oil with a pivot toward tech. Saudi officials have long touted the project as “the world’s most ambitious.”
However, the recent pullback has led to at least one contractor starting to dismiss workers employed on the site, Bloomberg reported, citing a document reviewed by the outlet.
This comes after officials said that some of the projects outlined in the Vision 2030 plan will be delayed past the original deadline, the Bloomberg report said.
Experts have raised ethical issues about the plans for the new city, with some concerned the city could become part of a sweeping surveillance program. Others have raised ethical objections about the strict rules around criticizing the project.
