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The strategy encompasses 13 integrated initiatives that focus on expanding SMEs’ access to financing and markets, enhancing their operational capabilities, refining the regulatory environment and promoting innovation, according to the Saudi Press Agency. Commerce Minister Dr. Majid Al-Qasabi, who serves as chairman of the General Authority for Small and Medium Enterprises, described the plan as a means to strengthen the entrepreneurship ecosystem, support business expansion and amplify the sector’s role in the national economy. The framework additionally seeks to place Saudi Arabia first globally in indicators measuring entrepreneurial skills and knowledge by 2030, building on years of ecosystem development under Vision 2030.
A central element involves establishing a comprehensive SME database that links to other relevant government systems, the Saudi Press Agency reported. Additional measures include attracting and localizing innovative international startups, reviewing Saudization requirements across sectors, cutting the cost of doing business and boosting financial awareness among entrepreneurs. The strategy also calls for the creation of dedicated financing enablers and incentives for institutions that extend credit to small and medium-sized enterprises.
Vision 2030 has maintained the 35 percent GDP contribution target for SMEs since its 2016 launch, when the sector accounted for roughly 20 percent, according to official program documents. Monsha’at data places the current contribution at 22.9 percent for 2025, with more than 1.7 million SMEs employing around 8.8 million people across the Kingdom. That represents substantial growth from 429,000 enterprises recorded in 2016, reflecting the impact of successive enablement policies and regulatory reforms.
Financing for the sector has expanded in tandem, as bank and non-bank facilities extended to SMEs exceeded 329 billion riyals in the third quarter of 2024, a Monsha’at annual report showed. The authority has also facilitated greater market access through franchise opportunities and trademark registrations, registering a 38 percent rise in local brands ready for licensing compared with the prior year. These steps have helped position the SME segment as a key driver of non-oil growth and job creation aligned with broader economic diversification goals.
The approval arrives as the Kingdom’s non-oil GDP share reached 55 percent in 2025, with strategic programs such as the National Industrial Development and Logistics Program contributing 39 percent of that non-oil total, according to the program’s latest annual figures. SME-focused initiatives have complemented these efforts by emphasizing skills development, digital transformation and eased administrative procedures for smaller businesses. Officials have indicated that sustained implementation of the new strategy will further accelerate private-sector participation and reduce reliance on public spending.
