Saudi Arabia has ruled out hosting its biggest international investment gathering in person next week as missile strikes by Iran-backed Houthi rebels raise security fears across the kingdom, according to reports.
The Future Investment Initiative, scheduled to kick off Oct. 26 in Riyadh, could be delayed or shifted entirely online, outlets including the Wall Street Journal reported.
Organizers abandoned plans for an in-person event Monday, with a final decision on a possible postponement expected by Tuesday, according to the report.
Before news of the change in plans broke, JPMorgan Chase and Citigroup bankers were already cancelling meetings due to security concerns, with CEOs Jamie Dimon and Jane Fraser’s teams debating whether they should make the trek.
The disruption marks another obstacle for Crown Prince Mohammed bin Salman’s efforts to lure foreign capital as the escalating conflict with the Houthis puts additional pressure on Saudi finances.
The security concerns intensified after a Houthi attack on Riyadh’s international airport earlier this month killed at least 13 people and wounded hundreds, according to the Journal.
Saudi authorities said another projectile struck the southern city of Najran on Sunday, injuring six.
Wall Street executives have consulted security specialists about traveling to the kingdom, with concerns that prominent hotels and landmarks could become targets.
Some financiers also worried that skipping the gathering could jeopardize relationships with Saudi officials and business partners, the Journal reported.
The conference has become a major venue for announcing multibillion-dollar transactions since its launch in 2017.
Organizers said last year’s gathering attracted more than 9,000 delegates and generated over $50 billion in agreements, pledges and projected deals, although those figures don’t necessarily represent completed investments.
Saudi Arabia has struggled to meet its foreign investment goals despite pouring billions into bin Salman’s Vision 2030 economic overhaul.
Foreign direct investment totaled about $33 billion last year, according to figures cited by Reuters, well short of the kingdom’s goal of attracting around $100 billion annually by 2030.
The event previously faced a major backlash in 2018, when prominent financiers and government officials pulled out following the murder of Washington Post columnist Jamal Khashoggi inside the Saudi consulate in Istanbul.
Many Western business leaders returned the following year as the kingdom sought to rebuild its international relationships.
The latest attacks have also disrupted other high-profile Saudi events, including Riyadh Fashion Week, the Six Kings Slam tennis tournament and the PIF Saudi International golf tournament.
A planned summit between European Union and Gulf Arab leaders has been postponed, too.
The Post has sought comment from FII organizers and the Saudi Public Investment Fund.