By : Fatimah Muhrim
The Kingdom of Saudi Arabia paid much attention to Small and Medium Enterprises in this situation of coronavirus pandemic. These Enterprises represent the economy as all in Saudi Arabia. As a result, the performance of these enterprises is vital in such a situation.
The Saudi Arabia Monitory Authority, which is known as SAMA, is representing the financial entity of the country. SAMA has launched a program that is worth SR 50 billion to support Small and Medium Enterprises in the privet sector.
The program has three main elements. First, Deferred Payments Program: it is up to SR 30 billion. It is an installment program through banks and financial institutions for small and medium businesses with delayed payments till six months. Second, Funding for Lending Program: it is up to SR 13.2 billion.
It is a funding program through banks and financial institutions for startups enterprises. Third, Loan Guarantee Program: it is up to SR 6.8 billion. It is a guarantee program through banks and financial institutions for startup enterprises to enable them to pay their accruals.
This vast program came as a part of the supporting procedures from the government of Saudi Arabia. The support was not only for the health sector but also for the business and privet sector, considering it as an active side in the economy of Saudi Arabia.