SME Bank Surpasses SAR 100 Billion in Financing Guarantees Through the Kafalah Program

SME Bank announced that the total value of financing guarantees provided through the Small and Medium Enterprises Financing Guarantee Program “Kafalah” has surpassed SAR 100 billion, benefiting more than 28,000 small and medium enterprises (SMEs) and enabling more than SAR 140 billion in financing. This milestone reflects the Bank’s efforts to enhance SMEs’ access to financing solutions and support their growth and sustainability.

On this occasion, His Excellency the Chairman of SME Bank, Mr. Yousef bin Abdullah Al-Benyan, expressed his gratitude to the Custodian of the Two Holy Mosques, King Salman bin Abdulaziz Al Saud, and His Royal Highness Prince Mohammed bin Salman bin Abdulaziz Al Saud, Crown Prince and Prime Minister — may Allah protect them — for their continued support and attention to the SME sector, which have strengthened its role as a key pillar in diversifying the national economy and advancing the objectives of Saudi Vision 2030.

His Excellency affirmed that surpassing SAR 100 billion in financing guarantees through the Financing Guarantee Program reflects the progress achieved in SME financing and the developmental role of the Bank and its programs in expanding access to financing and strengthening SMEs’ contribution to the national economy, under the continued supervision and support of the National Development Fund.

Ibrahim bin Hamad Al-Rashid, CEO of SME Bank, stated that the Financing Guarantee Program represents one of the Bank’s key enablers, with its financing guarantees contributing to the growth and expansion of beneficiary enterprises. A total of 51 medium-sized enterprises transitioned to Nomu – Parallel Market, while 8% of micro enterprises advanced to the small or medium enterprise category, and 4% of small enterprises advanced to the medium enterprise category.

Al-Rashid noted that credit facilities guaranteed through the Financing Guarantee Program account for 8% of the total credit facilities extended to SMEs in the Kingdom, which reached SAR 489 billion by the end of the first quarter of 2026.

He affirmed that these results reflect the growing impact of the financing solutions provided by the Bank through its programs, noting that the Program plays a pivotal role in broadening the base of enterprises benefiting from financing by reducing lending risks for financing entities and strengthening their capacity to finance SMEs.

He added that the Bank continues to expand its range of financing solutions and instruments and strengthen collaboration with financing entities, thereby improving the efficiency of SME financing, addressing the needs of enterprises at different stages of growth, and contributing to greater economic impact.

In terms of economic impact, a study conducted in collaboration with the Research Center at King Fahd University of Petroleum and Minerals found that enterprises benefiting from the Financing Guarantee Program recorded a 17% increase in employment compared with similar enterprises that received conventional financing. The Program’s contribution to gross domestic product (GDP) over the past five years was also estimated at approximately SAR 27 billion.

Under the supervision of the National Development Fund, SME Bank continues to strengthen its role in enabling the SME sector, expanding access to financing, and increasing the participation of financing entities in financing the sector, thereby supporting SME growth and sustainability and strengthening their contribution to the national economy.