Up to SR2 billion will be allocated to develop the kingdom’s key destinations
Saudi Arabia’s Tourism Development Fund (TDF), in partnership with Riyad Bank, has launched the Tourism Partners programme, allocating a funding capital of up to SR2 billion to enable the development of the kingdom’s key destinations.
The programme will enable the development of up to 113 tourism projects across the kingdom, targeting seven destinations identified by the National Tourism Strategy.
TDF introduced three products under the programme that aim to address the financing needs of companies of all sizes in the private sector and enable the development of tourism facilities and activities across the kingdom.
Each product provides a value of funding ranging from SR1 million to more than SR100 million for megaprojects, with options varying between direct support from TDF and co-financing with Riyad Bank, in addition to providing guarantees of up to 90% on finance.
Commenting on the initiative, TDF CEO Qusai Al-Fakhri said: “An attractive investment environment enhances investors’ appetite for tourism projects, which in turn helps drive the tourism sector. TDF’s primary role as the tourism investor’s partner is to provide financing solutions that overcome barriers to mobilise investments and help investors achieve their goals.
“Through this partnership, TDF paves the way for private companies, including small and medium-sized companies, to harness the massive opportunities in tourism.”
Riyad Bank CEO Tareq A Al-Sadhan added: “The Tourism Partners programme aims to further strengthen the kingdom’s position as an investment and business hub, improving the kingdom’s position on global ease of doing business rankings.”
TDF was established to drive the growth of Saudi Arabia’s tourism sector, in line with the National Tourism Strategy to increase the GDP contribution of the tourism sector from 3% to 10% and aims to create one million new jobs by 2030.