Saudi Arabia has unveiled a landmark initiative to accelerate the growth of its cultural sector, with the Cultural Development Fund (CDF) announcing 28 agreements and initiatives valued at over SAR 3 billion (USD 933 million). The announcement, made during the inaugural Cultural Investment Conference in Riyadh, signals a significant strategic push to empower creative entrepreneurs and position the Kingdom as a global cultural hub, in line with Vision 2030.
A Trio of New Investment Funds
A cornerstone of the initiative is the establishment of three specialized investment funds. The CDF will act as an anchor investor in a SAR 375 million (USD 100 million) Saudi Film Fund in partnership with BSF Capital, aimed at financing high-quality film projects and developing studio infrastructure. A second partnership with Merak Capital establishes the Kingdom’s first dedicated Fashion Investment Fund, valued at SAR 300 million (USD 80 million), to support local fashion companies and supply chains. Additionally, the Cultural Assets Group has launched a SAR 850 million (USD 227 million) fund, with SAR 200 million financed by the CDF, to invest across visual arts, digital content, and emerging technologies.
Expanding Financial Access for MSMEs
To directly support the startup and SME ecosystem, the CDF has launched a SAR 1 billion-plus Co-Lending Product in partnership with five leading financial institutions. This is complemented by the introduction of five new financing products under its “Cultural Finance” program, including receivable financing, revolving loans, and micro-lending. These offerings are designed to provide cultural MSMEs with flexible and tailored financial solutions, enabling them to scale their operations across the entire cultural value chain.
Forging Strategic Ecosystem Partnerships
Underscoring a collaborative approach, the CDF has signed several Memoranda of Understanding with key public and private sector players to create a more integrated ecosystem. These partners include the Ministry of Culture, the Ministry of Investment, Sparklabs, and Asyad Holdings. Further cooperation agreements with entities like the MBC Group, Rotana Studios, and the Saudi Coffee Company aim to drive sustainable growth and amplify the economic and social impact of the cultural sector.
Majed Abdulmohsen Alhugail, CEO of the Cultural Development Fund, stated that these commitments mark a pivotal step toward building a thriving cultural sector that is globally competitive and contributes to the diversification of the Kingdom’s economy.
About the Saudi Cultural Development Fund
Founded in 2021, the Cultural Development Fund (CDF) seeks to enrich Saudi Arabia’s cultural landscape. It is organizationally linked to the Saudi National Development Fund and aims to foster the development of a self-reliant cultural sector. By supporting cultural activities and projects, empowering those interested in them, and facilitating investment in the sector, the CDF works to improve the cultural sector’s profitability in alignment with the Saudi National Culture Strategy and Saudi Vision 2030.
Source: Zawya
