Saudi Arabia’s King Salman bin Abdulaziz Al Saud has issued a royal decree approving the private sector stimulation plan and allocating a total of SR72 billion ($19.2 billion) for the plan.

 The private sector stimulation plan is based on what was advanced by Prince Mohammad bin Salman bin Abdulaziz, the Crown Prince and Vice President of the Council of the Ministers and President of the Economic and Development Council, said a Saudi Press Agency (SPA) report.

The initiatives include allocations for subsidised housing loans – SR2.132 billion; projects support fund – SR10 billion; building technologies stimulation – SR13.87 billion; mega investment programme – SR5 billion; and provision of high-efficiency air-conditioning units – SR400 million.

It also includes allocations for small and medium enterprises (SMEs) and companies facing difficulties including provisions for indirect loan for SMEs – SR1.6 billion; government fees refund for SMEs – SR7 billion; the government risk capital initiative for SMEs – SR2.8 billion; support to financially distressed companies – SR1.5 billion; launching of exports promotion programme – SR66 million; and exports finance enhancing – SR5 billion.

Other initiatives include raising of Kafalah Program capital – SR800 million; and broadband and optical fibre stimulation – SR2.56 billion.

The private sector stimulation packages aim to strengthen competitive capabilities of a number of segments of the national economy, as well as improve the business and investment environment and facilitate growth in the country under the Vision 2030, the report said.