Saudi Arabia Witnesses Remarkable Growth in Small and Medium Enterprises Sector
By the end of the third quarter, the number of small and medium-sized enterprises (SMEs) in the Kingdom of Saudi Arabia reached 1.27 million, according to a report released by “Monsha’at,” the General Authority for Small and Medium Enterprises. This figure represents a 3.5% increase compared to the second quarter of the year. During this quarter, over 40,000 new businesses were established in the Kingdom, with 43.3% of these companies located in the capital city of Riyadh.
The report highlighted significant progress in establishing business ventures in the Qassim region, particularly thriving in the mining and agriculture sectors, hosting approximately 60,000 SMEs and 105 active mining licenses.
It emphasized the continuous role of the private sector in driving the Kingdom’s economy, as “Monsha’at” recorded an 18.8% increase in private investments in SMEs during the third quarter, exceeding 262.7 billion Saudi riyals (USD 70 billion).
The report elucidated that the non-oil gross domestic product growth demonstrates rapid maturity in a dynamic ecosystem led by entrepreneurs towards Saudi Arabia’s ambitious diversification goals.
This robust growth aligns with the National Industrial Development and Logistics Program, which significantly facilitated the entry of more SMEs into industrial and manufacturing sectors during this quarter.
Moreover, “Monsha’at” organized Entrepreneurship Week in project support centers in Riyadh, Jeddah, Medina, and Khobar, aiming to bolster the SME system in the Kingdom. These sessions highlighted initiatives and programs supporting the expansion of startups in the market, showcasing “Monsha’at’s” commitment to nurturing this vital sector.
