Riyadh Entrepreneurs Thriving with Support from Social Development Bank
In an exciting revelation, nearly 12,000 Saudi entrepreneurs have received vital support and training from the Kingdom’s Social Development Bank during the first quarter of 2024.
Financial Boost for Economic Growth
Minister of Human Resources and Social Development, Ahmed Al-Rajhi, shared on X that the SDB provided a staggering SR1.85 billion ($493 million) in financing during the initial three months of this year. This financial support aims to bolster individuals and enterprises to actively contribute to economic development and sustain efforts towards national sustainable growth.
Support for Small and Startup Businesses
The assistance for small and startup businesses amounted to SR606 million for over 1,700 establishments during the same period. Additionally, empowerment support for vibrant and productive communities reached SR640 million, benefiting 12,000 citizens through various social developmental products.
Boost for Freelancers and Productive Families
Assistance for freelancers and productive families also saw a significant surge, totaling SR600 million and benefiting 13,000 individuals. Moreover, the number of savings accounts increased by 13,000, reaching a total of 245,000 with a balance exceeding SR525 million.
Governmental Support for SMEs
Recognized for their crucial role in diversifying income streams and stimulating economic progress, SMEs are a cornerstone of Saudi Arabia’s economic landscape. Credit facilities extended to micro, small, and medium-sized enterprises experienced an 18 percent year-on-year surge in the third quarter of 2023, with governmental efforts aimed at bolstering support for SMEs.
Alignment with Vision 2030 Goals
In line with the objectives of Vision 2030, SDB signed 24 deals worth SR1 billion in January to support entrepreneurs across various sectors in the Kingdom. These agreements encompassed sectors such as health, transportation, and logistics, aiming to reduce the unemployment rate, enhance women’s participation in the workforce, and expand the contribution of small and medium-sized enterprises to 35 percent of the gross domestic product by the end of the decade.
Empowering Entrepreneurs for Success
CEO of SDB, Ibrahim Al-Rashid, expressed excitement about the new horizons for entrepreneurship and small enterprises opened by the recent deals. The bank has introduced a range of training programs to assist small businesses, covering key areas such as marketing and administration to support business owners in their development plans.