Riyadh: Saudi Minister of Environment, Water, and Agriculture, Eng. Abdulrahman Al-Fadley, oversaw the signing of an agreement between the Environment Fund and the Small and Medium Enterprises Loan Guarantee Program (Kafalah) to launch a loan guarantee product supporting environmental projects in the Kingdom.
The agreement aims to provide financial guarantees for credit facilities offered to small and medium-sized enterprises (SMEs),encouraging investment in the environmental sector. It coincides with the launch of the Incentives and Grants Program Platform to support environmental projects.
The initiative targets economically viable micro,small and medium enterprises struggling to secure guarantees from financing entities.Through the Kafalah Program, financial guarantees will cover a portion of the financing provided to these enterprises, boosting their access to funding.
During the event, Al-Fadley, who also chairs the Environment Fund's Board of Directors,launched the electronic platform for the Incentives and Grants Program in the Environment Sector.This initiative is part of the National Environment Strategy, aimed at promoting sustainability and stimulating environmental projects and initiatives.
The agreement will support environmental protection projects, finance green initiatives, and encourage investment in the environment and meteorology sectors.It will also enhance cooperation between the two parties to strengthen the financial sustainability of SMEs and improve their credit capabilities by providing guarantees to financing entities.
This step is part of the ministry's efforts to enhance environmental sustainability, attract investment in the environmental sector, and create new opportunities for growth and innovation in line with Saudi Vision 2030.
