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Saudi Arabia’s national funds pump $3.7 billion into economy

The funds were used to support a variety of sectors and projects, including the development of new industries

Saudi Arabia’s national funds pump $3.7 billion into economy
[Source photo: Anvita Gupta/Fast Company Middle East]

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The Saudi National Development Fund (NDF) and its affiliated entities have made significant contributions to the economic and cultural prosperity of Saudi Arabia.

The NDF and its affiliated financial institutions have issued substantial financing totaling $3.7 billion in the first half of 2023 to strengthen its local economy, according to its semi-annual release, cited by the Saudi Press Agency. 

These funds were used to support a variety of sectors and projects, including the development of new industries, such as renewable energy and tourism, the creation of jobs and training opportunities for Saudi citizens, and the preservation of the country’s cultural heritage.

The Saudi Industrial Development Fund has allocated over 300 billion to 104 industrial projects in the first half of 2023. Nearly $293 million has been directed to large-scale industrial businesses.

The Cultural Development Fund has issued guarantees worth approximately $8 million to over 30 cultural establishments in the first half of 2023, helping to revitalize the cultural sector.

The Tourism Development Fund has also supported industrial development, disbursing $35.4 million in financing and providing guarantees worth $13.8 million to 40 tourism-based establishments.

The Human Resources Development Fund has invested $1.2 billion in training, empowerment, and career guidance programs for Saudi nationals. This has helped to create almost 199,000 jobs in the private sector in the first half of 2023. 

The Social Development Bank disbursed financial support exceeding $1 billion to more than 70,000 individuals and 5,400 small and emerging establishments.

The Small and Medium Enterprises Bank Bank extended guarantees worth $1.38 billion through its Kafalah program and invested $45.8 million through the Saudi Venture Capital Investment Co.

To address housing affordability, The Real Estate Development Fund supported over 31,000 beneficiaries by formalizing their financial contracts for housing ownership.

When it comes to agriculture, the Agricultural Development Fund dispensed financing totaling $773 million to nearly 6,000 individuals and 63 establishments.

The Saudi Export-Import Bank orchestrated financing exceeding $746 million for Saudi non-oil exports, which aligns with the kingdom’s non-oil export agenda.

The Saudi Fund for Development disbursed development project loans exceeding $693 million across seven countries.

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