Saudi SMEs to Receive Finance Boost Through New Partnership
In an exciting development for small and medium enterprises in Saudi Arabia, the Kingdom’s Social Development Bank has signed a new deal that will provide a much-needed financial boost.
Collaboration with Monsha’at
The partnership, forged with the country’s SME general authority, Monsha’at, will see the authority joining the bank’s Entrepreneurs Program, as reported by the Saudi Press Agency. This collaboration aims to offer financing solutions and facilities for the growth and expansion of SME projects.
Empowering Entrepreneurs
The Entrepreneurs Program is a financing product designed to support new business entities’ assets and operating costs in the Kingdom. This initiative aligns with Monsha’at’s goal of enhancing the growth and competitiveness of SMEs by working with strategic partners locally and globally to create a conducive environment for a thriving society.
Vision for Social Development
The partnership also aligns with the bank’s vision of empowering social development tools and enhancing financial independence to contribute to a vibrant and productive society. Under the agreement, Monsha’at will provide training and advisory services to entrepreneurs benefiting from the program, while SDB will process lending applications and make necessary decisions.
Finance Week and Growth of SMEs
The deal was signed during Finance Week, organized by Monsha’at to showcase investment opportunities and government initiatives benefiting SMEs. A recent report by Monsha’at revealed a 3.1 percent increase in SMEs in the Kingdom, fueled by public investment and venture capital.
Leading the Industrial Sector
A study by the Centre for the Fourth Industrial Revolution highlighted the potential of SMEs in Saudi Arabia to drive the industrial sector’s digital transformation. The report emphasized the crucial role SMEs play in fostering innovation and digital initiatives in the region.