SAMA extends guaranteed financing program for one year

Logo of the Saudi Central Bank (SAMA)

The Saudi Central Bank (SAMA) extended the guaranteed financing program -- one of its financing support programs for the private sector -- for one more year, until March 14, 2023.

The step is consistent with SAMA's mandate of promoting financial sector’s stability, supporting economic growth, and enhancing the central bank's support to micro, small and medium enterprises (MSMEs), along with overcoming the challenges that arise from COVID-19 preventive measures, the bank said in a statement.

MSMEs can benefit from the guaranteed financing program through banks and financing companies that are subject to SAMA’s supervision and are members of the Small & Medium Enterprises Funding Guarantee Program "Kafalah", the statement added.

The central bank also noted that over 13,000 contracts with a total financing value exceeding SAR 11 billion benefited from the program since its launch on March 14, 2020, to date.