SDB allocates SAR 24B to aid fintech entrepreneurs and SMEs

• ByStartupStory     |    March 13, 2023

In a bid to boost entrepreneurship in the area, the Social Development Bank (SDB) of Saudi Arabia has pledged SAR 24 billion ($6.4 billion) to fund small and medium-sized enterprises (SMEs) and entrepreneurs over the next three years.

The declaration was disclosed during Biban 2023, a five-day event arranged by Mon’shat, the Ministry for Small and Medium Enterprises of Saudi Arabia.

As per a statement issued by the SDB, the aim is to empower entrepreneurs and enable them to play a significant and impactful role while boosting the involvement of small and emerging businesses in the Saudi Arabian economy.

Ibrahim Al-Rashid, CEO of the Social Development Bank, remarked that “this funding will play a crucial role in enabling more individuals to pursue self-employment and attain long-term success. The bank’s strategy centres on elevating economic productivity by providing small and emerging businesses with access to programs and products, fostering service development, offering financing options aligned with the requirements of targeted sectors, and promoting economic activity”.

 

Additionally, he stated that the bank is responsible for monitoring the social and economic progress in the Kingdom. This responsibility extends to numerous efforts, such as offering consultancy services, training programs, and guidance initiatives through the Dulani Center, as well as the provision of business incubators and accelerators via Jaadah30 to empower SMEs.

According to SDB, its financing services benefitted 9,000 entities, with the bank providing SAR 5 billion in funding to local SMEs in 2022. Furthermore, the bank has inked 11 agreements with various stakeholders to foster and support SMEs, which are considered one of the most critical pillars of the economic and social development process.

With over 120 participants, the BIBAN23 conference aligns with the objectives of Vision 2030 and the Kingdom’s ultimate aim of increasing SMEs’ contribution to the nation’s GDP to 35%.

Follow Startup Story