Start-up loan program gets mixed response

There has been a mixed response from Saudi graduates to the Saudi Credit and Savings Bank’s loan program for those wanting to start their own businesses in the health and education sectors.
Ahmad Al-Jabrin, a spokesman for the bank, said: “According to royal directives to find quick solutions for the increasing number of university graduates in health and education, the bank designed a program for graduates to establish small projects in line with their expertise and scientific specializations.”
The bank loans include all project types with a regular license inside the Kingdom with maximum finance for a single project of SR 4 million.
Al-Jabrin said applications would be received and processed online at www.scsb.gov.sa beginning Saturday. The portal has all the relevant details of the program.
There has been mixed reaction from graduates.
Abdullah Al-Inizi supports the program. “The bank’s move to design a program supporting Saudi health graduates is good because young people need to invest their time constructively and have the chance to stand on their own two feet and achieve their dreams and aspirations,” he said.
Mesfer Al-Ali, another graduate, said: “The program is one of many solutions for unemployment in the health and education sectors, but we have to wait for many years to judge its success because many young people have little experience in running and managing commercial projects.”
He said businesses face many challenges that could see them fail, including Saudization, a reduction in expatriate workers, and rising wage costs.
Ali Al-Namshan, who graduated four years ago, has been looking for a job without success. As soon as he heard about the program he looked it up online. He met all the requirements except one which stated the applicant’s project should match his specialization. However, this could be overcome by forking out SR 5,000 and getting one year’s experience in the project’s field. “How can a young graduate get experience in the field he wants to invest in?”
Fuad Al-Saeed said the bank should provide the program for all graduates, not just those in the health and education sectors.
Hamad Al-Harbi says he graduated from King Saud University with a major in Arabic language but has not been able to get a teaching job because of the sheer number of graduates.
Ahmad Al-Hajiri suggested seeking the help of specialized companies to operate and manage start-ups run by graduates in return for a percentage of the profits.