Saudi support fund to provide economic stimulus for Tadawul-listed companies

Saudi support fund to provide economic stimulus for Tadawul-listed companies

RIYADH: Saudi Arabia's Projects Support Fund Initiative has signed an agreement with Tadawul, the Saudi Stock Exchange, to provide economic stimulus for listed companies.

The initiative targets private sector companies in the healthcare, education and large real estate development sectors, in a bid to help gross domestic product growth, create employment and support local companies.

The agreement was finalised on Sunday and was signed by Fahad Al-Saif, CEO of the National Debt Management Center, and Tadawul CEO Khalid Al-Hussan.

"The agreement targets companies listed in the Saudi Stock Exchange, indicating that the stimulus is to be provided through long-term loans to the companies,“ Tadawul said in a press statement.

Listed companies will see their financing limits increased and Tadawul said it was confident the move would encourage more companies to list on the exchange.

"This comes within the framework of initiatives to incentivize and encourage private sector companies to offer and list their shares on the stock exchange. This is one of the initiatives of the Financial Sector Development Program, which targets the development of the economy and the diversification of revenue sources, through the deepening of the financial sector and the development of the Saudi Stock Exchange to achieve Saudi Vision 2030 by becoming