Saudi Arabia’s SME Bank, in partnership with Aramco’s SME development program, Aramco Taleed, and fintech firm Manafa, has launched a new suite of financing solutions aimed at small and medium-sized enterprises. The collaboration, announced at a ceremony in Dhahran, is set to provide significant funding opportunities for businesses operating within Aramco’s vast industrial ecosystem.
Quick Facts
- SAR 1.5 billion in financing over five years.
- Targeting SMEs in projects, manufacturing, and services.
- Sharia-compliant solutions with up to 12-month repayment plans.
Streamlining SME Access to Capital
The initiative directly addresses common funding challenges faced by SMEs, aiming to improve their financial liquidity and operational efficiency. By providing fast, digital access to capital, the partners intend to empower businesses that are integral to the Kingdom’s industrial sector and Aramco’s supply chain.
The financing solutions are designed to cover a range of operational needs, including working capital, invoice financing, payroll support, and purchase order financing. This comprehensive approach is expected to give SMEs the flexibility required to manage cash flow and scale their operations effectively.
Building on an Existing Fintech Partnership
This three-way collaboration expands upon an existing strategic partnership formed between SME Bank and Manafa in 2023. That initial alliance was part of the bank’s broader strategy to support the innovative financing sector and integrate modern fintech solutions into its offerings.
SME Bank has been an early supporter of alternative financing models through its Agency Financing Program. In partnership with various fintech companies, the program has already facilitated over SAR 1 billion in financing across more than 720 opportunities, demonstrating the growing role of tech-driven lending in the Saudi economy.
A Strategic Push for Saudi Vision 2030
The collaboration is a direct extension of the bank’s role in advancing the goals of Saudi Vision 2030 by promoting financial innovation and broadening funding options for the SME sector.
Ibrahim bin Hamad Al-Rashid, CEO of SME Bank, described the collaboration as a “step change in facilitating SMEs’ access to digital funding solutions.” He added, “The bank is committed to enabling SMEs’ growth by facilitating access to suitable funding, providing guarantees, addressing operational challenges, and enhancing efficiency.”
Jamil J. Al Bagawi, Aramco Senior Vice President of Diversified Industries, stated, “Through the Aramco Taleed program, we continue to deliver unique solutions for local SMEs… These funding solutions can enhance the ability of SMEs to execute their operations smoothly and fulfill their commitments to Aramco across the projects, manufacturing, and services sectors.”
Abdulaziz Al-Adwani, CEO of Manafa, commented, “We are delighted to partner with Aramco Taleed and SME Bank, and we’re proud to contribute to strengthening the SME ecosystem in Saudi Arabia. Through these digital funding solutions, we are providing a seamless experience that enables SMEs to access tailored funding quickly.”
About SME Bank
The SME Bank was established in 2021 as one of the development banks affiliated with the National Development Fund. It aims to empower and foster SMEs by offering financing solutions, services, and products to support the economic development goals of Saudi Vision 2030.
About Aramco Taleed
Aramco Taleed is Aramco’s dedicated program for supporting and fostering SMEs in the Kingdom. The program is designed to serve as a catalyst for change and an enabler for this vital sector within Aramco’s ecosystem.
About Manafa
Manafa is a Saudi fintech company licensed by the Saudi Central Bank (SAMA) that specializes in debt crowdfunding and financing solutions. Through its digital platform, Manafa enables SMEs to access financing opportunities that support their liquidity and operational growth.
Source: Zawya
