RIYADH – The Saudi Industrial Development Fund (SIDF) approved 144 loan applications worth SR6.7 billion, 6 percent up than the total loans given in 2012. The loans helped in setting up 120 brand new industrial projects and expanding 24 existing ones with a total investment of SR14.5 billion. The projects are forecast to generate 11,442 job opportunities. SIDF director Ali Abdullah Al-Ayed pointed out that the loans for the last year took into consideration the variety of geographical locations. “50 percent of them were granted to projects that would be implemented in underdeveloped cities and areas,” he said, adding that the percentage was 14 percent for the year 2012. Al-Ayed said the SIDF performance in 2012 reflected its positive policy. The loan repayment term was increased to 20 years instead of 15. The fund also adopted several industrial investment initiatives to encourage and strike balanced development for the cities and areas that needed it, he said. Small businesses, the loans of which accounted for 59 percent of the total loans, were particularly given more priority in order to encourage this type of businesses. “The sound economic climate of the Kingdom played an important role in the increase of loans given to the investors of small businesses,” he said. Since its inception in 1974, the SIDF has approved 3,624 loans with a total value of SR112 billion and which have helped in starting 2,592 projects the Kingdom over. The total amount given to borrowers has reached SR75.6 billion while the total amount of paid-off loans until the end of the fiscal year 2013 stood at SR45.9 billion. Regarding which industries were given priority ever since the fund came into existence, the chemical industries have had the largest percentage of loans at 39.4 percent – SR22.4 billion. Engineering industries stood second with a percentage of 20 percent and loans worth of SR18.9 billion. Consumer and retail industry came third at 16.8 percent and total of SR12.2 billion while construction material sector registered 10.8 percent and SR11.5 billion, followed by the cement sector 10.3 percent and SR3 billion. — SG
