In BriefPosted:9:34 PM PDT March 9, 2025Image Credits:NeomNeom is reportedly turning into a financial disaster, except for McKinsey & Co.A new WSJ report suggests that Saudi Arabias now eight-year-old Neom project a futuristic, carbon-neutral, 105-mile-long linear city envisioned by Crown Prince Mohammed bin Salman has become a financial sinkhole.Plagued by delays and cost overruns, the country, which has already shelled out $50 billion, could reportedly face another 55 years of construction, with an astonishing projected cost of $8.8 trillion, according to an internal audit presented to Neoms board last summer. Thats more than 25 times Saudi Arabias annual budget, notes the Journal.The situation is starting to resemble Saudi Arabias own Waterloo, with MBS misjudging the monumental challenges inherent in his strategy, much like Napoleon did before him. Among the harsh realities threatening to derail the project are insufficient labor, inadequate roads, and a lack of electricity.There are some winners, however. Consulting giant McKinsey & Company is reportedly earning more than $130 million annually for its services, despite some controversy surround its role, given the firms involvement in both the planning and validation of some of the projects financial projections, per the story. A McKinsey spokesman tells the WSJ the firm has strict protocols to prevent conflicts of interest in our engagements.TopicsClimate