RIYADH: Saudi Arabia’s Agricultural Development Fund (ADF) has approved loans and credit facilities worth over SR820 billion ($221 million) to strengthen the agriculture sector in the Kingdom.
The fund’s board headed by Minister of Environment, Water and Agriculture Abdulrahman Al-Fadhli also endorsed initiatives to mitigate the impact of the coronavirus disease (COVID-19) pandemic. The initiatives include backing up the standing capitals and operational costs of small and medium-sized establishments.
The board also approved direct and indirect financing of agriculture enterprises across the Kingdom, in partnership with commercial banks, to help them import required agricultural products.
In June, the ADF had launched an SR2 billion food security strategy initiative to finance the import of specific agricultural products. It also approved four contracts worth SR348 million. This initiative focused on importing rice, sugar, yellow corn, and soybeans from abroad.
Other initiatives include financing the first veterinary camel hospital in Saudi Arabia, shelter projects, broiler chicken production, a dried egg powder factory, and the provision of guarantees and financial facilities for feed and animal production companies.
The fund plays a pivotal role in the development of the Saudi agriculture sector. In addition to financial support, it also offers technical, administrative, financial, and marketing consultancies.