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Saudi Development Bank to Inject $8 Billion to Empower Citizens, Drive Growth

The SDB headquarters (SPA)
The SDB headquarters (SPA)
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Saudi Development Bank to Inject $8 Billion to Empower Citizens, Drive Growth

The SDB headquarters (SPA)
The SDB headquarters (SPA)

Saudi Arabia is pressing ahead with its Vision 2030 reform agenda, focused on empowering individuals, accelerating economic growth, and diversifying income sources. At the heart of this effort stands the Social Development Bank (SDB), which has evolved from a traditional lending body into a key driver of social and economic empowerment.

Over the next three years, the bank plans to inject SAR30 billion ($8 billion) into the national economy. The focus extends beyond numbers: priority is being given to underserved groups, women entrepreneurs, and promising new sectors such as technology and e-gaming, underscoring a commitment to building a sustainable, knowledge-based economy founded on innovation.

SDB’s CEO Sultan Al-Humaidi told Asharq Al-Awsat that the bank continues to develop innovative financing pathways and expand access to savings products, with a goal of reaching 250,000 participants in its “Zood Al-Ajyal” savings program.

The bank’s performance in the first half of 2025 reflects its growing impact. Social financing exceeded SAR1 billion ($266 million), benefiting 20,000 citizens, while more than SAR3.6 billion ($1 billion) was directed toward productive projects and self-employment. In total, over 39,000 individuals and enterprises across the kingdom received support.

According to Al-Humaidi, women have been at the forefront of this growth. He explained that fifty-six percent of financing for small and emerging businesses went to female entrepreneurs, earning the bank international recognition as the Middle East and North Africa’s best financier for women-led businesses for two consecutive years.

SDB is also backing national initiatives in emerging industries, he added. Financing has supported the gaming sector and the National Program for IT Development, aiming to transform entrepreneurial ideas into tangible projects and strengthen Saudi Arabia’s innovation-driven economy.

Tangible Economic Impact

The SDB CEO noted that the bank’s financing has contributed more than SAR200 billion ($54 billion) to GDP since inception and created over 177,000 jobs by the end of 2024. Its support has reached 56,000 small and emerging enterprises, fueling entrepreneurship nationwide.

On the social side, SDB has extended SAR120 billion to more than 3 million citizens, covering essential needs such as marriage and home renovation. The bank has also cultivated a culture of savings through initiatives like “Zood” and “Zood Al-Ajyal,” with over 334,000 savings accounts and deposits exceeding SAR570 million ($152 million) by mid-2025.

Moreover, Al-Humaidi stressed that productive financing remains central to the mission. He explained that since establishment, the bank has disbursed SAR166 billion ($44.2 billion) to more than 10 million Saudis. Small and emerging enterprises have received SAR22 billion in financing, creating 140,000 jobs, while self-employment and family businesses were backed with SAR24 billion, benefitting more than 557,000 individuals.

Non-Financial Support and Innovation

Beyond loans, the bank provides integrated non-financial services. Its “Dulani Business Center” has supported more than 150,000 beneficiaries with guidance from 2,600 volunteer consultants. Another initiative, “Jada 30,” offers incubators and accelerators, with more than 4,000 startups supported across 13 branches, with expansion to 17 planned.

Al-Humaidi noted that roughly 70 percent of the bank’s financing now supports productive projects. He stressed that SDB’s mission is not only to provide funds but also to equip citizens with entrepreneurial skills, promote financial independence, and create a sustainable base for innovation.

Looking Ahead

The bank’s long-term vision is to position itself as a key enabler of Vision 2030, transforming financing into a tool for empowerment and development. Upcoming priorities include expanding developmental financing, maximizing economic and social impact, and supporting strategic sectors such as IT, gaming, and e-sports.

Through specialized portfolios and partnerships with both public and private sectors, the bank aims to strengthen the digital economy and create high-quality jobs for Saudi citizens.

Al-Humaidi added that SDB’s mission is to make financing a powerful tool for economic empowerment, innovation, and entrepreneurship. He pointed that by enabling individuals to translate ideas into successful ventures, the bank hopes to sustain growth, broaden citizen participation, and build a stronger, more inclusive national economy.

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Business

PIF Anchors State Street’s Newly Launched Saudi Equity ETF

Officials from PIF and State Street IM (Saudi PIF)
Officials from PIF and State Street IM (Saudi PIF)
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PIF Anchors State Street’s Newly Launched Saudi Equity ETF

Officials from PIF and State Street IM (Saudi PIF)
Officials from PIF and State Street IM (Saudi PIF)

The Saudi Public Investment Fund (PIF) and State Street Investment Management (State Street IM), one of the world’s largest asset managers, launched on Thursday the State Street Saudi Arabia Enhanced Active Equity (SAQL) with PIF as anchor investor.

The fund actively invests in equities of companies in Saudi Arabia using a quantitative multi-factor stock selection model, PIF said in a statement.

SAQL has its primary listing on the Xetra exchange in Germany and is cross listed on the LSE in the United Kingdom, where a bell ringing ceremony was held. The fund will be available to investors in both markets as well as investors across other key markets in Europe, the statement said.

The investment marks another step in PIF’s strategy to further deepen and diversify the Saudi capital market by attracting international capital flows, empowering financial institutions, broadening financing options for the private sector and introducing new products.

The newly launched fund is the second State Street IM ETF in which PIF has made an anchor investment, and the fifth ETF investment for PIF across nine global markets with leading international asset managers. New and innovative Saudi-focused products were listed in Hong Kong, London, Shanghai, Shenzhen, Tokyo, Frankfurt, Italy and Singapore.

“PIF is further strengthening Saudi Arabia’s capital market ecosystem, working with our partners to open gateways for international investors, enable access and drive global capital inflow into the country,” said Deputy Governor and Head of MENA Investments at PIF Yazeed Al-Humied.

“Our continued partnership with State Street IM reinforces a shared commitment to enhance and diversify the product range, to present new opportunities for international investors into the Saudi market and unlock capital pools,” he said.

“The launch of this ETF further deepens the Saudi market and builds on a series of PIF-anchored ETF listings across international markets, cementing PIF’s role in driving increased product diversification to enhance liquidity and fulfill market needs,” Al-Humied added.

Chief Executive Officer of State Street Investment Management Yie-Hsin Hung praised Saudi Arabia’s success story. Saying: “At State Street, as with PIF, innovation is in our DNA and we’re pleased to offer a new product in this same vein, drawing on our decades of experience and commitment to quality to underpin an exciting new offering, anchored by PIF.”

Quantitative funds, such as SAQL, use mathematical modeling, algorithmic, and data-driven methods to manage portfolios. The Saudi capital market has evolved beyond legacy sectors, with maturation of market structure and data quality – enabling SAQL to use a systematic active approach when investing in Saudi equity securities.

SAQL provides an opportunity for international investors to obtain investment exposure to this rapidly evolving economy.

The fund is registered for sale in Austria, Denmark, Finland, France, Germany, Ireland, Italy, Luxembourg, the Netherlands, Norway, Spain, Sweden and the UK.

Business

Morocco’s Inflation Rises to 0.9% in March

People stand looking across the river at the skyline in the coastal city of Rabat on April 20, 2026. (AFP)
People stand looking across the river at the skyline in the coastal city of Rabat on April 20, 2026. (AFP)
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Morocco’s Inflation Rises to 0.9% in March

People stand looking across the river at the skyline in the coastal city of Rabat on April 20, 2026. (AFP)
People stand looking across the river at the skyline in the coastal city of Rabat on April 20, 2026. (AFP)

Morocco's annual inflation, measured by the consumer price index, rose to 0.9% in March from -0.6% a month earlier, the statistics agency said on Wednesday.

Food prices, ‌the main ‌driver of ‌inflation, ⁠rose 0.6% from a year ⁠earlier, while non-food inflation increased 1.1%.

Core inflation, which excludes more volatile goods, rose 0.6% year-on-year ⁠and 0.1% month-on-month.

The ‌rise ‌in fuel prices following ‌the Iran conflict ‌led the Moroccan government to reintroduce subsidies for professional transporters, including taxis, buses ‌and trucks, to keep prices stable.

Fuel subsidies, ⁠along ⁠with aid to keep electricity and cooking gas prices stable, would cost the government 1.6 billion dirhams ($170 million) monthly, the minister in charge of the budget, Fouzi Lekjaa, said.

Business

Strait of Hormuz Blockade Drives up Costs at Panama Canal

Aerial view of the One Contribution container ship sailing under the Tokio flag as it enters the Panama Canal in Panama City on April 21, 2026. (EPA)
Aerial view of the One Contribution container ship sailing under the Tokio flag as it enters the Panama Canal in Panama City on April 21, 2026. (EPA)
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Strait of Hormuz Blockade Drives up Costs at Panama Canal

Aerial view of the One Contribution container ship sailing under the Tokio flag as it enters the Panama Canal in Panama City on April 21, 2026. (EPA)
Aerial view of the One Contribution container ship sailing under the Tokio flag as it enters the Panama Canal in Panama City on April 21, 2026. (EPA)

The war in the Middle East has boosted demand to move vital cargo through the Panama Canal to such an extent that one vessel carrying liquefied natural gas (LNG) paid $4 million to skip the line and avoid a wait that can take up to five days, according to an official report.

A surge in such payments has been recorded since the US-Israeli attacks on Iran began February 28, which led to the blockade of the Strait of Hormuz, a critical waterway for one-fifth of the world's oil and natural gas exports from Gulf countries.

To meet fuel demand, Asia's refineries are choosing to buy oil or gas from the United States and ship it through the transoceanic waterway instead of purchasing from Gulf countries who rely on the Strait of Hormuz, according to reports from the Panama Canal Authority.

The average number of ships passing through the canal on a daily basis has "remained strong," the authority told AFP in a statement Tuesday, with 34 ships in January and 37 ships in March. Some days exceeded 40 transits.

"The increase reflects changes in global trade patterns and market conditions, including geopolitical factors affecting key routes," the authority said.

Ships transiting the canal book their passage well in advance, and ships without bookings wait an average of five days to get through, but there is an auction where last-minute transits can be purchased.

The most recent auction included a $4 million bid for an LNG vessel, and in recent weeks two oil tankers exceeded bids of $3 million, the authority said.

Past average auction prices between October and February stood at around $130,000, and rose to $385,000 in March and April.

Five percent of global maritime trade passes through the Panama Canal, and its main users are the US and China. The route primarily connects the US East Coast with China, South Korea and Japan.

In the first half of the 2026 fiscal year, which runs October to September, the Panamanian waterway recorded passage of 6,288 ships, a year-on-year increase of 3.7 percent, according to official figures.