RIYADH, 1 January 2008 — Many people see the Centennial Fund, one of the economic reforms introduced by Custodian of the Two Holy Mosques King Abdullah, as a solution to the problem of youth unemployment in the Kingdom, which was estimated in April 2007 to stand at 12 percent. Since its foundation in 2005, the Centennial Fund has funded hundreds of young budding Saudi entrepreneurs to start their own businesses.

Hisham Tashkandi, general director of the Centennial Fund, told Arab News that 530 young Saudis have benefited from the fund since its establishment to November 2007. “The total number of men initiating projects stands at 426, and the rest of the 104 are women,” he said, adding that financial aid is provided to applicants based on merit.

Many of the young women who have benefited from the fund told Arab News that their lives changed with the assistance. One of those young women is Najala Al-Tasan, who received a SR100,000 bursary six months ago to open a beauty salon.

Al-Tasan now owns Sirr Najala on Riyadh’s Al-Marooj Street. “I came across the website of a British charitable foundation providing assistance to British citizens and I thought I should surf the net to look for a similar one in the Kingdom. It was then that I found the Centennial Fund,” said Al-Tasan, adding that three weeks after applying online she received a telephone call from the fund inviting her to come and discuss her project.

“I spent three months working on an economical feasibility study to pitch my idea to the fund’s management. Fortunately, I won the loan,” said Al-Tasan, adding that she was spurred to apply as her old job, working as a computer trainer, was not bringing her joy and made her feel non-creative.

Although her family was initially unhappy with her decision to quit working and begin a business, they respect her decision now. “It’s a risky step. My family was afraid that my initiative might fail, which may lead me to falling into debt. However, after they saw my enthusiasm they began providing me with their full support,” she said.

“I receive around seven to 15 customers daily and take around SR2,000 everyday. This increases during the weekend when there are lots of social occasions that people attend,” she said, adding that her regular visitors include friends, colleagues, neighbors and their families.

“As I see my business finally taking off and more people coming, I feel my life has begun to be just as I have wanted it to be,” she said.

Another inspiring story is that of Hanadi Al-Muwallid who owns MP3, a women’s-only café in Madinah. In spite of being the owner, Al-Muwallid does not shy away from taking customers’ orders and cleaning tables when they leave.

MP3 has been operating for around 18 months and is entirely run by Al-Muwallid and her sisters. “At the early stages, I cared to make use of every single penny to develop the café and its services,” she said, adding that it was because of this that she opted to employ her sisters instead of other people.

Al-Muwallid said running a business “is not a piece of cake” and that the first 10 months is the most challenging time. “It’s make or break time,” she said, adding that entrepreneurs need to be patient and not expect quick profits. Covering overheads is the main priority at the initial step.

The MP3 Café is not just a venue for people to enjoy coffee, it also has five billiard tables and a special reading corner, with different books and magazines.

“I have chosen to set up a coffee shop because women don’t have many entertaining venues to go to in spare time,” she said, adding that she would continue improving the quality of her services and expanding the café until it becomes a cultural club for women to gather and entertain themselves.

The Centennial Fund was established in November 2005 as part of the government’s efforts to create more jobs and business opportunities for young Saudi men and women. The idea emerged when the Kingdom celebrated its centenary.