The acting chief executive of Saudi Arabia’s Neom, Aiman al-Mudaifer, has recently initiated a “comprehensive review” of the scope and priority of projects within the ambitious $500 billion mega-project, according to sources familiar with the matter. Al-Mudaifer, who took over as acting CEO in November following the sudden departure of Nadhmi al-Nasr, has been tasked with re-evaluating key aspects of the futuristic plan as part of a wider effort to ensure the project stays on track despite growing challenges.
Al-Nasr, who had led Neom for six years, faced mounting scrutiny over his management style and pressure to deliver tangible results, which ultimately led to his departure. Under Al-Mudaifer’s leadership, the review is focused on prioritizing and re-assessing the feasibility of the projects within the Neom scheme, which encompasses a vast area of desert and mountains along the Red Sea, stretching up to the borders of Jordan and Egypt. The review has particularly focused on tourism developments along the Red Sea, some of which had yet to commence construction and have now been delayed.
According to sources, while major projects at Neom are generally progressing, there are concerns over the available resources and the need to scale back certain developments. This review is taking place in an environment of limited resources, reflecting broader changes in Saudi Arabia’s economic priorities. Neom, often referred to as the world’s biggest construction site, includes notable developments such as The Line—an ambitious 170-kilometer linear city, Oxagon, a coastal logistics hub, and the Trojena ski resort, set to host the 2029 Asian Winter Games.
The setbacks come at a time when Neom is under increased scrutiny from both inside and outside the kingdom. Despite its grand vision, Neom has struggled with projects exceeding budgets and missing deadlines, leading to skepticism about its feasibility. However, Saudi officials argue that the scale of Neom means it is a long-term project, with expectations extending over 50 to 100 years. This perspective was highlighted in a Financial Times report, which also noted that Riyadh’s recalibration of spending priorities in the wake of fluctuating oil prices is influencing the pace and direction of mega-projects, including Neom.
With oil prices dropping, the Saudi government is facing increasing pressure to manage its Vision 2030 initiatives, including Neom. This has resulted in cuts to consultant fees, tighter spending across state entities, and some projects being scaled back or extended over a longer timeline. The review process at Neom aims to determine which projects should be prioritized and how best to allocate resources in a more sustainable manner.
Sources close to the project also indicated that the leadership review is part of broader governance efforts to ensure that Neom aligns more effectively with Saudi Arabia’s long-term economic transformation goals. Neom, as the centerpiece of Crown Prince Mohammed bin Salman’s Vision 2030, is seen as pivotal to reducing the kingdom’s reliance on oil revenue. As such, the pressure to deliver tangible progress is immense, with Neom’s success being closely tied to the success of the broader Vision 2030 initiative.
Neom has not responded to requests for comment regarding the ongoing review, though the company has previously stated that the project is entering “a new phase of delivery” under Al-Mudaifer’s leadership, focusing on operational continuity and efficiency. Al-Mudaifer, who previously led the local real estate division of the Public Investment Fund (PIF), is expected to be appointed as the permanent CEO, signaling a new chapter for Neom’s development. The PIF, which oversees major development projects in Saudi Arabia, is facing growing pressure to produce tangible results nearly a decade after Prince Mohammed first unveiled Vision 2030.
