Saudi Arabia’s Small and Medium Enterprise (SME) Bank disbursed SR1 billion ($267 million) between its launch in December 2022 and January 2023, according to the National Development Fund (NDF). In 2023, the bank introduced five financing products for SMEs: microloans, working capital loans, term loans, commerce loans, and revolving limit loans. Acting CEO Abdulrahman bin Mohammed bin Mansour emphasized the crucial role SMEs play in economic diversification, with 99% of the Kingdom’s businesses classified as SMEs.
Established by the Cabinet in February 2021, the SME Bank aims to boost SME contributions to the GDP to 35% by 2030, aligning with Vision 2030 goals. Mansour highlighted the bank’s innovative financing models—joint financing, proxy financing, and low-cost loans—to address financing challenges. The bank is also developing a comprehensive digital strategy to enhance financial services, data management, and value-added offerings, further supporting the SME sector’s growth and resilience.