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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

France Says Still Loyal to Syria Kurds, Hails Ceasefire

Syrian army personnel celebrate as government forces enter Raqqa city following the withdrawal of Syrian Democratic Forces, in Raqqa, Syria, January 18, 2026. REUTERS/Karam al-Masri
Syrian army personnel celebrate as government forces enter Raqqa city following the withdrawal of Syrian Democratic Forces, in Raqqa, Syria, January 18, 2026. REUTERS/Karam al-Masri
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France Says Still Loyal to Syria Kurds, Hails Ceasefire

Syrian army personnel celebrate as government forces enter Raqqa city following the withdrawal of Syrian Democratic Forces, in Raqqa, Syria, January 18, 2026. REUTERS/Karam al-Masri
Syrian army personnel celebrate as government forces enter Raqqa city following the withdrawal of Syrian Democratic Forces, in Raqqa, Syria, January 18, 2026. REUTERS/Karam al-Masri

France on Monday welcomed a ceasefire between the Syrian government and Kurdish-led forces and stressed it remained loyal to the latter who spearheaded the battle against the ISIS group.

"France is faithful to its allies," the foreign ministry said, urging all sides to respect the ceasefire deal, which will also see the Kurdish administration and forces integrate into the state after months of stalled negotiations.

Business

Lucid in 2026: 'Made in Saudi Arabia' Label Goes Global

Mark Winterhoff, interim CEO of Lucid (Company) 
Mark Winterhoff, interim CEO of Lucid (Company) 
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Lucid in 2026: 'Made in Saudi Arabia' Label Goes Global

Mark Winterhoff, interim CEO of Lucid (Company) 
Mark Winterhoff, interim CEO of Lucid (Company) 

Saudi Arabia is positioning itself as a global launchpad for Lucid, the electric-vehicle manufacturer, not merely as a consumer market, but as a manufacturing and export hub serving markets worldwide.

Speaking from Riyadh during his participation in the Future Minerals Forum, Mark Winterhoff, interim chief executive officer of Lucid — whose largest shareholder is Saudi Arabia’s Public Investment Fund (PIF) — outlined the company’s next phase, which focuses on disciplined expansion, resilient supply chains, and a strategic shift from ultra-luxury vehicles toward a broader consumer segment.

In remarks to Asharq Al-Awsat, Winterhoff described the forum as a critical platform for the electric-vehicle industry, given its heavy reliance on minerals and rare earth elements, particularly those used in magnets. He praised Saudi Arabia’s leadership in this area, noting its direct impact on multiple industrial sectors. Winterhoff oversees the execution of Lucid’s strategy and leads teams responsible for product design, engineering, and manufacturing efficiency.

Saudi Arabia as an Export Base

Winterhoff said Lucid’s Saudi factory - the company’s first manufacturing facility outside the United States - was designed from the outset as a major export platform, not solely to meet domestic demand.

Under current plans, only 13 to 15 percent of production will be allocated to Gulf Cooperation Council (GCC) markets, with the majority destined for export. He confirmed that Lucid remains on track to begin production at the facility by the end of this year, specifically in December.

In January 2025, Lucid joined the “Made in Saudi Arabia” program, enabling it to use the national manufacturing label on vehicles produced locally. The company is the first automotive original equipment manufacturer (OEM) to receive the designation, reflecting Saudi Arabia’s push to localize advanced industries, deepen partnerships with global manufacturers, and establish itself as a hub for electric-vehicle production and exports.

Strong Growth Momentum

Winterhoff said Lucid posted strong growth in both production and deliveries in 2025. Annual production more than doubled, while deliveries rose 55 percent year-on-year. The fourth quarter recorded particularly strong results in the United States and the Middle East, especially Saudi Arabia.

He noted that Lucid was the only electric-vehicle manufacturer in the US to report higher deliveries in the fourth quarter of 2025, at a time when many competitors saw sharp declines.

According to company figures, Lucid produced about 18,378 vehicles in 2025, up 104 percent from 2024, while deliveries reached 15,841 vehicles. In the fourth quarter alone, production climbed to 8,412 vehicles — up 116 percent from the previous quarter — while deliveries rose 31 percent to 5,345 vehicles.

While Lucid currently operates in the luxury segment, its most significant strategic shift involves developing a mid-size vehicle priced at around $50,000. Winterhoff said this model, aimed at a much wider consumer base, will form the backbone of production at the Saudi plant and enable the facility to reach its targeted maximum capacity.

Supply Chain Challenges and Outlook

Winterhoff identified supply chains - particularly for minerals, rare earth elements, and semiconductors - as ongoing challenges for the industry. He said Lucid faced repeated difficulties over the past year in sourcing magnets and securing stable semiconductor supplies. Forums such as the Future Minerals Forum, he added, are part of the solution, helping build a more stable and sustainable resource ecosystem.

Looking ahead, Winterhoff expressed confidence in Lucid’s trajectory. The company currently leads US electric-vehicle sales in the luxury sedan segment and ranks third when internal combustion vehicles are included. With the launch of its mid-priced model, Lucid expects higher production volumes and, in 2026, plans to enter the autonomous robotaxi market, an emerging sector it views as a key source of future growth.

 

 

Business

China's Economy Grows 5% in 2025, Buoyed by Strong Exports Despite Trump's Tariffs

A deliver worker transfers the merchandise outside the Ritan International Trade Center in Beijing, Monday, Jan. 19, 2026. (AP Photo/Andy Wong)
A deliver worker transfers the merchandise outside the Ritan International Trade Center in Beijing, Monday, Jan. 19, 2026. (AP Photo/Andy Wong)
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China's Economy Grows 5% in 2025, Buoyed by Strong Exports Despite Trump's Tariffs

A deliver worker transfers the merchandise outside the Ritan International Trade Center in Beijing, Monday, Jan. 19, 2026. (AP Photo/Andy Wong)
A deliver worker transfers the merchandise outside the Ritan International Trade Center in Beijing, Monday, Jan. 19, 2026. (AP Photo/Andy Wong)

China's economy expanded at a 5% annual pace in 2025, buoyed by strong exports despite US President Donald Trump's tariffs.

However, growth slowed to a 4.5% rate in the last quarter of the year, the government said Monday. That was the slowest quarterly growth since late 2022, when China was beginning to loosen stringent COVID-19 pandemic restrictions. The economy, the world’s second largest, grew at a 4.8% annual pace in the previous quarter.

China’s leaders have been trying to spur faster growth after a slump in the property market and disruptions from the pandemic rippled through the economy.

As expected, annual growth last year was in line with the government’s official target for an expansion of “around 5%.”

In quarterly terms, the economy grew 1.2% in October to December.

Strong exports helped to compensate for weak consumer spending and business investment, contributing to a record trade surplus of $1.2 trillion.

Chinese exports to the US suffered after President Donald Trump returned to office early last year and began raising tariffs. But that decline was offset by shipments to the rest of the world. Soaring imports of Chinese goods are leading some other governments to take action to protect local industries, in some cases raising import duties, The Associated Press reported.

Trump and Chinese leader Xi Jinping agreed to extend a truce in their bruising tariffs war, also helping to alleviate pressure on China’s exports. But China's exports to the US still fell 20% last year.

“The key question is how long this engine of growth can remain the primary driver,” Lynn Song, chief economist for Greater China at Dutch bank ING wrote in a recent note. “Should more economies also start ramping up tariffs on China, as Mexico has done and the EU has threatened to do, eventually, a tighter squeeze will be seen."

China’s leaders have repeatedly highlighted boosting domestic demand as a policy focus, but their effects have so far been limited. A trade-in program for drivers to replace older cars with more energy-efficient models, for example, has been losing steam in recent months.

“Stabilization, not necessarily recovery, of the domestic property market is key to revive public confidence and, hence household consumption and private investment growth,” said Chi Lo, senior market strategist for Asia Pacific at BNP Paribas Asset Management.

China has also provided trade-in subsidies for home appliances such as refrigerators, washing machines and TVs. While major consumer stimulus policies in 2025 -- including such subsidies -- are set to continue in 2026, they may be scaled back, Weiheng Chen, global investment strategist at J.P. Morgan Private Bank, said in a recent note.

Investments in artificial intelligence and other advanced technologies remain a key priority for China’s ruling Communist Party as it moves to boost self-reliance and rival the US.

Meanwhile, many ordinary Chinese and small businesses are struggling with tough times and troubling uncertainty over jobs and incomes.

Liu Fengyun, a 53-year-old noodle restaurant owner in a small county in southwestern China’s Guizhou province, said business has become very difficult these days. Some of her customers told her that “money is hard to earn now” and “making breakfast at home is cheaper.”

“People all say, ‘The overall environment is not good right now — what more can you expect? People don’t have money anymore. Nothing is easy to do now,’” Liu said.

Kang Yi, head of China’s National Bureau of Statistics, on Monday told reporters that China’s economy had sustained "steady progress in 2025 despite multiple pressures” and has “solid foundations" in countering risks.

Some economists and analysts believe China’s actual economic growth in 2025 was slower than official data suggest. The Rhodium Group, a think tank, said last month it expected China’s economy to grow only by 2.5% to 3% last year.

The Chinese economy expanded at a 5% annual rate in 2024, and 5.2% in 2023, according to government data. Ambitious official growth targets have also trended down over the past few years, from 6% to 6.5% in 2019 to “around 5%” in 2025.

A slower annual expansion is expected for 2026. Deutsche Bank forecasts that China’s economy will grow about 4.5% in 2026.

A strong and stable economy is considered crucial for social stability, a primary priority for China's leaders. While China could probably maintain social stability even at lower economic growth rates, Beijing “wants the economy to keep growing”, said Neil Thomas, a fellow at the Asia Society Policy Institute’s Center for China Analysis.

China likely needs to sustain a roughly 4%-5% annual expansion in order to reach its soft target by 2035 of $20,000 gross domestic product (GDP) per capita, he said.