Human Rights Watch (HRW) has issued a report alleging that Saudi Arabia’s Public Investment Fund (PIF), its primary sovereign wealth fund, is complicit in human rights abuses both domestically and internationally. The PIF, as highlighted in the report, has engaged in activities that directly support these violations.
The report brings attention to various issues, including the direct expropriation of Saudi businesses for political motives and corrupt practices within the fund’s administration. It specifically mentions the acquisition of Sky Prime Aviation, the airline reportedly used to transport those involved in the assassination of journalist Jamal Khashoggi, a noted critic of the Saudi royal family. Further criticism is leveled at NEOM, a major urbanization project funded by the PIF, for forcibly displacing the indigenous Huwaitat tribe in Saudi Arabia’s Tabuk province.
Concerns over the transparency of the PIF are also raised in the HRW report. Given that the fund’s leadership primarily consists of Crown Prince Mohammed Bin Salman and close government allies, it has enormous latitude in its financial operations, raising eyebrows regarding accountability compared to other sovereign wealth funds worldwide.
Beyond domestic implications, the report details the PIF’s international actions, including its strategic use of non-disparagement clauses in contracts and legal pushback against foreign government and corporate entities probing into its activities. This was evident in deals, such as one with the Professional Golf Organization, which included terms precluding criticism of the Saudi government.
HRW underscores that, as an arm of the Saudi state, the PIF carries the same international legal obligations the state does, being a signatory to several UN human rights treaties and the Arab Charter of Human Rights. Per the UN High Commissioner for Human Rights guidelines, the PIF is required to mitigate and take responsibility for any adverse human rights impacts resulting from its operations.
The allegations set out in the HRW report invite further scrutiny of the PIF’s role in global economic and political arenas, emphasizing the intersection of governance and responsible investment practices. For more in-depth information, you can access the full report on the JURIST website.