Neom’s Grand Dream Crumbling? What Went Wrong with Saudi Arabia’s Futuristic City
Saudi Arabia’s ambitious Neom project, envisioned as a futuristic metropolis in the desert, has encountered significant challenges that have hindered its progress.
image from https://www.neom.com/en-us/regions/theline
Escalating Costs and Unrealistic Projections
Originally estimated at $500 billion, the project’s costs have soared, with projections now reaching up to $8.8 trillion by 2080. An internal audit revealed financial manipulations and overly optimistic assumptions, partly influenced by consulting firm McKinsey & Co.
The Wall Street Journal These unrealistic projections have led to delays and budget overruns, raising concerns about the project’s feasibility.
Management Turmoil
The abrupt departure of Neom’s CEO, Nadhmi al-Nasr, amid budget and scheduling issues, has further destabilized the project. Al-Nasr faced criticism for his harsh management style and extravagant media campaigns. His replacement, Aimen Al-Mudaifer, aims to address these challenges and accelerate the project’s completion.
Labor and Safety Concerns
The project has been marred by alarming reports of worker fatalities and poor labor conditions. A documentary revealed that at least 21,000 foreign workers, primarily from South Asia, have died during the construction of The Line, a key component of Neom. These workers endured harsh conditions, including 16-hour workdays without breaks for two weeks.
huffingtonpost.es Additionally, internal reports indicate that executives have shown insensitivity toward worker deaths, highlighting a troubling workplace culture.
Human Rights Issues
The development of Neom has led to the forced displacement of approximately 20,000 indigenous Bedouins. Protests against these evictions have been met with severe repercussions, including arrests and, in some cases, death sentences for those resisting relocation.
Environmental and Practical Challenges
Plans to host the 2029 Asian Winter Games in Neom have drawn criticism due to environmental concerns. The feasibility of constructing artificial ski slopes in a desert region raises questions about sustainability and resource allocation.
en.wikipedia.org Moreover, the harsh desert environment presents practical challenges to the project’s completion and functionality.
In summary, Neom’s grand vision has been undermined by escalating costs, management issues, labor and human rights concerns, and environmental challenges. These factors collectively cast doubt on the project’s viability and its ability to achieve its futuristic aspirations.
Neom Project Faces Mounting Challenges Amidst Financial and Ethical Concerns
What Went Wrong at Saudi Arabia’s Futuristic Metropolis in the Desert
thetimes.co.ukSaudi Arabia’s Neom boss sacked following budget concerns122 days agobusinessinsider.comA Neom executive reportedly complained about having a meeting on a Sunday evening after 3 workers died184 days ago
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