Saudi Arabia to create $8bn bank for boosting industrial exports

20 December 2017
Khaled al-Falih said industry and logistics will not be complete without making provisions for government funding

Saudi Arabia will establish an export bank with a capital worth of SR30bn ($8bn) to support its industrial and mining projects and providing impetus for overseas sales of its products.

Khaled al-Falih, the kingdom’s Minister of Energy, Industry and Mineral Resources made the announcement about this initiative last week, when he was addressing the annual In-Kingdom Total Value Add (IKTVA) Forum organised by Saudi Aramco in Dammam.

“A bank for exports with a capital of SR30bn will be established to encourage and support exports, and SR5bn ($1.33bn) have been allocated as a first instalment this year,” Al-Falih was quoted as saying in a local media report.

Al-Falih said that the programme to develop Saudi industry and logistics will not be complete without making provisions for government funding for industrial and mining projects.

He cited that the Saudi Industrial Development Fund (SIDF) capital has been increased several times, from SR500m at its inception in 1974 to SR65bn this year.

The minister said the IKTVA initiative forms a practical and creative model in which spending is directed towards stimulating industrial and logistic development in the Kingdom and developing national competencies. He stressed that the ambitious programme will see Saudi Aramco invest about SR1 trillion ($266.7bn) over the next ten years.

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