Saudi Industrial Development Fund approves USD 4.5 billion in projects for the first time in its history
RIYADH, Saudi Arabia, March 18, 2021 /PRNewswire/ -- The Saudi Industrial Development Fund (SIDF), Saudi Arabia's main financial enabler for its industrial transformation, has approved 212 loans that amounted to USD 4.5 billion in 2020 for 201 companies in the fields of industry, mining, energy, and logistic services. The approved loans covered different tiers, out of which 84% of total loans were dedicated to SMEs, ensuring the fund's strong continuous support to the key contributors of the economic growth in the Kingdom.
These exceptional results have proven to be the largest in the history of the fund's history, thus demonstrating, despite the economic pressures of the pandemic, the strength, and resilience of the Saudi private sector. Over the past years, the Saudi government has implemented programs to realize Vision 2030 structural, economic, and financial reforms that aim to diversify the economy. Such efforts have played a crucial role in the economy's sustainability in times of global crisis.
At the beginning of the COVID-19 outbreak, SIDF proactively supported small, medium, and large companies and offered financial initiatives tailored to their specific needs during these difficult times. The initiatives SIDF offered, which were part of a wider package of governmental support, resulted in three urgent financial aids that exceeded USD 1.3 billion; the aids were in the form of restructuring installments of 546 loans due in 2020, amounting to USD 1 billion. Financial The financial liquidity of the companies was augmented by credit instruments to finance the operating expenses of the companies, especially the ones impacted by the lockdown, out of which 86 companies have benefited from the initiative for a total amount of USD 127 million. Finally, launching an accelerated working capital loan amounting to USD 172 million directed to finance the raw material requirements of the companies involved in the medical sector to help in boosting the local medical content and the Kingdom's pharmaceutical security.
SIDF's 2021 strategy aims to stimulate investments in priority economic sectors, improve client experience, enhance the efficiency and effectiveness of its operations, strengthen governance and risk management, and focus on human capital development. The strategy will position SDIF in driving its support to realize the goals of Saudi Vision 2030.
SOURCE The Saudi Industrial Development Fund (SIDF)
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