Saudi Gazette reportTIRANA, Albania —

The Governor of Saudi Arabia’s Public Investment Fund (PIF) Yasir Al-Rumayyan called the EU’s upcoming sustainability regulations “outrageous” and cited a regulatory decision in Switzerland that impacted PIF’s investment in Credit Suisse as a major warning sign for future investment.

Speaking at the FII Priority Summit in Tirana on Saturday, Al-Rumayyan warned that the European Union’s sustainability rules — which include more than 1,000 compliance metrics — are creating an environment of risk and uncertainty for global investors.

He cautioned that the new regulations, set to take effect in 2028 after a two-year delay, could lead to disinvestment from the region.

“The regulation is saying if you’re not compliant, you will be penalized not only for your operation in Europe, but you will be penalized on the parent company — 5% of your top line,” he said. “This is really outrageous for a lot of investors.”

He criticized the scope and retroactive nature of the rules, arguing that the lack of predictability is the “biggest single inhibitor” to both public and private sector financing in Europe.

Al-Rumayyan suggested that such regulatory frameworks might push businesses to relocate operations outside the continent.

Highlighting a specific case, he pointed to PIF’s investment in Credit Suisse, where a sudden change in Swiss regulations effectively wiped out the fund’s position.

“We owned about 5% of Credit Suisse. Overnight, the Swiss regulator changed the law — 150 years of rule of law was changed overnight. And they wiped out all investors,” he said. “This is a big red flag.”

He added that such abrupt regulatory shifts undermine investor confidence and damage Europe’s reputation as a stable destination for capital.

Despite the criticisms, Al-Rumayyan emphasized PIF’s deep engagement with Europe over the past seven years. Since 2017, the fund has deployed $85 billion in investments and procurement across the EU, with plans to increase that figure to $170 billion by 2030.

“Our impact on EU GDP currently stands at $52 billion,” he said. “By 2030, this will grow to $105 billion. Through these investments, we’ve created about 254,000 direct and indirect jobs.”

He concluded with a call for European leaders to foster a more stable and welcoming business environment.

“We want to continue investing here. But we need clarity. We need consistency. The way forward is to pave the way for investors and businesses to come in, grow, and maintain their current investments.”