Public Investment Fund of Saudi Arabia has launched a SAR 4 billion fund of funds.
The new investment vehicle is designed to provide small and medium-sized enterprises (SMEs) with access to capital by investing in venture capital and private equity funds targeting the SME sector.
The fund, aligned with the Vision 2030 objective of facilitating private sector growth and supporting the development of SMEs in creating job opportunities, promoting innovation, and increasing exports as per the commercial by-laws, to support and encourage investment in SMEs, will also support the creation of the private equity and venture capital ecosystem in the Kingdom.
The Fund of Funds’ contributions to national GDP is estimated to be around 400 million SAR by the end of 2020, with the provision of more than 2,600 jobs. Its contribution to GDP is expected to increase to 8.6 billion SAR by the end of 2027, creating around 58,000 jobs.
PIF is led by Chairman His Royal Highness Mohammad bin Salman Al-Saud, Crown Prince, Deputy Prime Minister, Chairman of the Council of Economic and Development Affairs.