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The Saudi Industrial Development Fund (SIDF), in cooperation with the Ministry of Industry and Mineral Resources, announced the launch of financing incentives via the "Promising Factories Initiative", which provides soft financing, within the framework of the “Stimulating Local Industry” initiative.
The initiative was announced by Minister Industry and Mineral Resources and SIDF Chairman Bandar bin Ibrahim Alkhorayef, in the fourth edition of SIDF’s ceremony to empower the private sector last December.
The initiative aims to develop innovative investment and financing tools - without requiring personal guarantees - in order to enable entrepreneurs and small and medium-sized enterprises to obtain financing, with advantages that include a financing ratio of up to 50% of the project cost, a lending term of up to 10 years, a grace period of up to 24 months, and the disbursement of 20% of the loan value in advance.
Furthermore, it seeks to finance automation and digitization projects and raise the efficiency of energy consumption, by providing financial support and incentives to applicants for financing from SIDF after they fulfill the program's conditions.
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