Today, the Kafalah Program has officially announced a partnership with a diverse selection of Saudi-based entities, pledging up to $1.5 billion in financing guarantees for the Kingdom’s burgeoning community of startups and small and medium-sized enterprises (SMEs).
The announcement was made on the second day of Biban 2023, with the Kafalah Program — the leading loan risk guarantee program in the Kingdom and one of the largest loan risk guarantee programs in the region — fully aligned with the goals of Vision 2030.
The program’s $1.5 billion pledge was announced in conjunction with the signing of several agreements focused on the development of the Saudi Arabian SME space.
This includes the Small and Medium Enterprises General Authority of the Kingdom of Saudi Arabia’s (Monsha’at) partnership with two of the world’s leading enablers of regional entrepreneurship.
In line with the Kingdom’s economic diversification, Monsha’at has signed a Memorandum of Understanding (MoU) with Oman’s SME Development Authority. The agreement will bring Monsh’aat and the SME Development Authority together to enhance the SME ecosystem in Saudi Arabia and Oman, promoting trade and entrepreneurship between both countries.
Monsha’at has also signed an MoU with the Visa International Service Association (VISA). As part of the agreement, both parties will work closely to enhance joint-cooperation and support VISA’s “She’s Next” initiative: a female empowerment program established to equip female entrepreneurs with the tools to grow their businesses. The initiative will be implemented to support Saudi businesswomen in achieving their objectives and attaining sustainable success.
Worth more than $1.5 billion, these partnerships join the wide-ranging agreements launched at Biban 2023. Bringing entrepreneurs, SME owners, investors, and policymakers from around the world together, the event — taking place from March 9 to March 13, 2023 — is being held at the Riyadh Front Exhibition & Conference Center.
Providing over 105,000 participants a platform to network, advance entrepreneurship in the Kingdom and pioneer solutions to global business challenges, the theme of this year’s forum is “Attract-Connect-Achieve”. The annual event underlines the Kingdom’s commitment to transforming the nation into a world-class SME hub.
Saud Alsabhan, Vice Governor of Monsha’at for Entrepreneurship, said: “At a time when innovation has never been more important to overcoming persistent global challenges, safeguarding the future and creating a greater, more prosperous Saudi Arabia, Biban continues to provide some of the world’s leading business minds a fitting platform to network, collaborate and create.
He continued: “In just two days, we have brought changemaking entities and innovators together to launch landmark agreements that will help to enhance the Kingdom’s SME ecosystem, bolster the national economy, and secure our future.”
