Recently, the military conflict between Yemen's Houthi forces and Saudi Arabia has continued to escalate, with several facilities in Saudi territory being attacked. According to a report by Bloomberg on October 14th, as the security situation in Saudi Arabia deteriorates, many bankers and corporate executives on Wall Street are questioning Saudi Arabia's capabilities, and they are beginning to reconsider their investment plans in the country.
Saudi Arabia's capital, Riyadh, will host a Future Investment Initiative Conference at the end of October. This conference usually attracts corporate executives from all over the world. However, sources familiar with the matter say that after Riyadh was attacked by the Houthi movement, the organizers are considering emergency measures, which could change the way this year's conference is held. Options include holding the conference online.
Due to the closure of Riyadh Airport, many investors have been forced to re-evaluate their travel plans. Sources familiar with the situation say that many companies may wait until the conference approaches to assess the safety conditions before deciding whether to attend the meeting.
On October 8th, local time, King Fahd International Airport in Riyadh, Saudi Arabia, was attacked. Visual China
The Future Investment Initiative Conference has always been an important platform for Saudi Arabia to showcase its capabilities and attract foreign investment in the global financial community. The total value of agreements reached at the 2025 conference exceeded $50 billion. Yasir Rumayyan, President of the Saudi Public Investment Fund, stated that since the inception of the conference, transactions worth over $250 billion have been facilitated.
In recent years, Saudi Arabia has gradually adjusted its development plans, shifting its focus to areas such as artificial intelligence, video games, and high-tech manufacturing. These efforts also require global support. Despite financial pressures, the Saudi government is still making significant international investments. Many investors are looking at the opportunities that arise from Saudi’s acquisitions of American gaming giant EA.
However, Bloomberg pointed out that the number of such transactions is decreasing, and they are becoming more decentralized. Especially after the US military strikes against Iran, Wall Street’s confidence in Saudi Arabia has declined. American financial giants like Citigroup have begun to shift their focus to other Gulf countries such as the UAE and Kuwait.
After the Houthi militia recently increased their attacks on Saudi Arabia, doubts about Riyadh have grown. Analysts point out that although it remains to be seen whether the Future Investment Initiative Conference will be successfully held, the continuous deterioration of the security situation is eroding international confidence, which could affect Saudi Arabia's ability to attract foreign investment.
"This directly strikes at Saudi Arabia's economic objectives in attracting foreign investors, their vision has been 'held hostage' by the Houthi armed group," H.A. Hurley, Senior Research Fellow at the Royal United Service Institution of Defence and Security in the UK, stated.
American Carnegie Institute for Peace Studies senior researcher Aaron David Miller pointed out that the actions of the Houla group indicate that the security and stability that Saudi Arabia seeks to attract investment comes at a cost. "Saudi Arabia is fragile."
Recently, the Houthi forces have launched attacks on the international airport in Saudi Arabia's capital, Riyadh, several times. An attack on October 10 resulted in at least 13 deaths. The multinational coalition led by Saudi Arabia has increased its military operations in Yemen. On the 13th, the Houthi forces stated that Saudi Arabia carried out 119 attacks within 24 hours.
On October 14 local time, Houthi militant military spokesman Yahya Sareer said that the Houthi group carried out missile and drone attacks on King Khalid Airport in Saudi Arabia’s capital Riyadh, as well as facilities of Saudi Aramco in Zahlren and Riyadh.
He warned international shipping companies, airport workers, and local civilians to evacuate from relevant locations, and vowed to continue attacks until Saudi Arabia ceases its military operations in Yemen.
