RIYADH: Saudi Arabia’s Small and Medium Enterprises Financing Guarantee Program, Kafalah, has exceeded SR64 billion ($17 billion) in the total loan portfolio, of which SR42 billion were guaranteed, CEO at Kafalah Fund, Homam Hashem, told Argaam.
The total facilities funded by banks and finance companies issued by the Saudi Central Bank, or SAMA, amounted to SR203 billion in the fourth quarter of 2021, according to Hashem.
The Kafalah program guarantees a minimum of 12.4 percent of this portfolio by targeting medium- and small-sized enterprises, which reached 22 percent of small enterprises, and 9 percent of medium- and small-sized enterprises, he added.
Portfolio indicators are positive and promising, indicating that the program does not view any risks as high, Hashem stated.
Kafalah offers approximately 12 products to support enterprises, among them the high Saudization program, supply chains, technology, and more.
The Kafalah program covers several business sectors, including wholesale and retail trade, catering and hotels, manufacturing industries, and administrative and support services.