Digestly

Apr 4, 2025

Here's Why Saudi Arabians Are Back On Forbes’ Billionaires List For The First Time In 8 Years

Forbes - Here's Why Saudi Arabians Are Back On Forbes’ Billionaires List For The First Time In 8 Years

Saudi billionaires are back on Forbes's list after an 8-year absence, primarily due to increased transparency and new stock listings on the Saudi exchange. Previously, Forbes excluded them due to uncertainty following a 2017 crackdown by Crown Prince Muhammad bin Salman, which involved detaining wealthy individuals under corruption allegations. This year, 15 Saudis made the list, up from 10 in 2017, with a combined worth of $55.8 billion. Prince Alwaleed bin Talal is the richest, with $16.5 billion, largely from his stake in Kingdom Holding. Newcomers include founders who recently listed their companies, such as Sulaman Al-Habib of a hospital group and the Al-Muhadib brothers, who expanded their family conglomerate. The return reflects improved data reliability and economic reforms in Saudi Arabia.

Key Points:

  • Saudi billionaires return to Forbes list after 8 years due to improved data reliability.
  • 15 Saudis are on the list, with a combined worth of $55.8 billion.
  • Prince Alwaleed bin Talal is the richest Saudi billionaire with $16.5 billion.
  • Newcomers include founders who listed companies on the Saudi stock exchange.
  • The 2017 crackdown led to previous exclusion due to data uncertainty.

Details:

1. 📉 Missing from Forbes: A 7-Year Hiatus

  • Saudi Arabians have rejoined Forbes's billionaires list after an 8-year absence, marking a significant shift.
  • Forbes excluded Saudi billionaires 7 years ago due to the lack of transparency and the difficulty in verifying their fortunes.
  • The return to the list suggests improved transparency and possibly changes in Forbes's methodology for assessing wealth.
  • This move could have broader implications for the perception of Saudi wealth and its integration into global financial rankings.

2. 📈 The Comeback: Saudi Billionaires Return

  • The initial arrests and shakedown of wealthy Saudi businessmen, including royal family members, created a significant economic uncertainty.
  • The resurgence is driven by new listings on the Saudi stock exchange, which have revitalized the wealth of the kingdom's billionaires.
  • This comeback marks a strategic economic shift, signaling increased investor confidence and potential growth in the Saudi market.

3. 💼 Meet the New Faces on the List

  • The number of Saudi Arabians on Forbes's 2025 ranking increased to 15, up from 10 in 2017, reflecting a significant growth in wealth representation from the region.
  • These individuals include founders and operators from diverse industries, prominently featuring healthcare, retail, and banking sectors, indicating a wide-ranging entrepreneurial impact.
  • This group of all men aged between 49 and 95 years collectively holds an estimated wealth of $55.8 billion, showcasing substantial economic influence.
  • Notable figures include those leading major healthcare innovations and expanding retail empires, contributing to both local and global markets.

4. 🌟 Prince Alwaleed: A Familiar Name Returns

  • Prince Alwaleed bin Talal returns to the billionaire list with a fortune of $16.5 billion, highlighting a significant presence in global finance.
  • 40% of his wealth is tied to his ownership stake in Kingdom Holding, a Saudi listed company known for its strategic investments.
  • Kingdom Holding's portfolio includes high-profile investments like the Four Seasons hotel chain and the George V Hotel in Paris, showcasing a focus on luxury and hospitality sectors.
  • His investment strategy often includes acquiring low single-digit stakes in major companies, such as his stake in X (formerly Twitter) alongside Elon Musk, reflecting a diversified and opportunistic approach.
  • Prince Alwaleed was last featured on Forbes's billionaires list in 2017 with an estimated worth of $18.7 billion, indicating a consistent position among the world's wealthiest.
  • His investments not only bolster his own wealth but also have a substantial impact on global markets, particularly in the luxury and technology sectors.

5. 🔄 A Shift in the Saudi Billionaire Landscape

  • Two prominent billionaires from the 2017 era, Salai Kamil and Abdulaha al-Raji, have passed away, and others like Abdul Majid Salman and Fawaz al-Hoker are no longer on the list due to significant declines in their company's share prices.
  • The current list of Saudi billionaires features 14 newcomers, highlighting a shift in wealth dynamics within the region.
  • Six of these new billionaires are founders or co-founders who have taken their companies public on the Saudi stock exchange in recent years, indicating a trend towards leveraging public markets for wealth creation.
  • Sulaman Al-Habib, now the second wealthiest Saudi, founded the Dr. Sulaman Al-Habib Medical Services Group in 1995 and took it public in 2020. He retains a 40% ownership stake, showcasing the potential for significant wealth accumulation through strategic public listings.
  • Brothers Immad, Isam, and Sulaman al-Muhadib have expanded their late father's company, Al-Muhadib Group, into various sectors including consumer products and real estate. They hold a combined 56% ownership in the privately-held firm, demonstrating the power of family-owned conglomerates in wealth generation.
  • The Al-Muhadib family also holds shares in at least 16 publicly traded companies, with significant investments in ACWA Power, a major player in power generation and desalinated water production that went public recently.

6. 🕵️ Behind the Hiatus: Uncertainty and Reform

  • Forbes stopped listing Saudi Arabia's billionaires for 7 years due to concerns about the reliability of available information.
  • In November 2017, Saudi Crown Prince Muhammad bin Salman orchestrated a roundup of the country's richest people, putting them under house arrest amid corruption allegations.
  • The Saudi government aimed to gather $100 billion to bolster its budget from this crackdown.
  • At least four Saudi billionaires on Forbes's list were reportedly detained, impacting the list's accuracy.
  • The decision to remove them from the list was made because none of the detained billionaires commented on how much they handed over to the government.
  • Persistent uncertainty exists regarding the true ownership of wealth in Saudi Arabia, complicating reliable information gathering.
  • Saudi experts highlight the general reluctance among Saudis to discuss financial topics openly, contributing to the uncertainty.
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