Saudi Arabia's Crown Prince Mohammed bin Salman has shelved plans to visit South Korea this year, a presidential official said Monday.

The two countries had been in talks to arrange the visit for next month, but the plan fell through for reasons that were not immediately clear.

"It appears the crown prince's visit to South Korea this year will be difficult," the official told Yonhap News Agency by phone. "We still remain in close consultation over the timing of the visit."

The crown prince is considered the de facto ruler of Saudi Arabia and news of his possible visit sparked interest among South Korean businesses eager to win construction projects in Neom, a Saudi smart city project overseen by Mohammed bin Salman.

The two sides are reportedly in talks over a possible meeting between the crown prince and President Yoon Suk-yeol on the sidelines of the Group of 20 summit in Bali, Indonesia, next month. (Yonhap)