Saudi Arabia’s Crown Prince Mohammed Bin Salman has transferred 4 per cent of Saudi Aramco shares worth $80 billion to the kingdom’s sovereign wealth fund, the government announced. The shares will support the Public Investment Fund’s (PIF) strong financial position and high credit ratings in the medium term, the crown prince said in a release. The fund is transferred to change the Saudi economy and diversify oil revenues. The state remains the largest shareholder in Saudi Aramco even after the transfer process, as it has over 94 per cent of the company’s shares, the statement added.

Saudi Aramco said in a statement the transfer was a private transaction between the government and the state fund. “The company is not a party to the transfer and did not enter into any agreements or pay or receive any profits from that transfer,” it said. It also said that the move would not affect the number of issued shares or its operations, strategy, dividends distribution policy or governance framework.