Saudi Arabia Pauses Major Stretch of ‘The Line’ Megacity Amid Budget Re-Prioritisation
The kingdom scales back its flagship 100-mile linear city project within NEOM as deficits bite and focus shifts to tech and AI
Saudi Arabia has declared a significant recalibration of its ambitious desert megacity project, signalling that the 100-mile (170 km) ultra-modern linear city known as “The Line” will be scaled back substantially.
Senior officials, speaking at a high-profile investment forum in Riyadh, admitted, “We spent too much… We rushed at 100 miles an hour.
We are now running deficits.
We need to re-prioritise.”
The Line, initially pitched under the Vision 2030 agenda as a zero-emissions, car-free city to house up to nine million people, is now projected to reach only a few miles in length and accommodate a fraction of the original population by 2030. External estimates suggest fewer than 300,000 residents, down from the initial 1.5 million or more.
The project forms a central part of the broader NEOM initiative, backed by the Public Investment Fund (PIF).
According to recent disclosures, the fund has written down approximately eight billion dollars in value from its giga-project portfolio, citing cost overruns, delays and changing priorities.
While Saudi Arabia emphasises that NEOM remains a strategic priority, the recalibration reflects pressure from lower oil revenues, global economic headwinds and growing demands for near-term returns.
The shift may also reflect a broader transition—from large-scale physical real-estate megaprojects toward investment in technology, artificial intelligence and digital infrastructure.
For now, the rulers in Riyadh appear intent on preserving the project’s core ambition while reducing its scale and extending its timeline, signalling a pivot from spectacle to sustainability and pragmatism in one of the Middle East’s most high-profile development programmes.