Saudi Arabia’s General Entertainment Authority (GEA) has boosted financial backing for small and medium enterprises (SMEs) in the entertainment sector to SR100 million ($26.6 million).
This initiative, in collaboration with the Kafalah financing guarantee program, aims to strengthen the Kingdom’s entertainment industry. The program provides coverage of up to 90%, depending on the enterprise size.
Initially launched in 2022, the program offered financing up to SR15 million for medium enterprises, SR5 million for small companies, and SR2.5 million for micro-businesses through approved banks and financing firms. Details of the new SR100 million support are yet to be disclosed.
This initiative is part of a broader effort to stimulate investments in the entertainment sector, supported by the Ministry of Finance, the GEA, and the Quality of Life Program Center. It aligns with Saudi Vision 2030, which aims to develop the entertainment industry by increasing household spending on recreation from 2.9% to 6% by 2030.
Vision 2030 also seeks to generate over SR120 billion in investments, create 100,000 jobs, and enhance the sector’s economic contribution. Since its inception in July 2022, the initiative has provided approximately SR70 million in financing and guarantees to entertainment establishments across Saudi Arabia.
By June 2023, 16 establishments had benefited from the program, with guarantees amounting to SR31.3 million, supporting micro, small, and medium-sized enterprises. The initiative aims to further develop the entertainment sector by supporting the growth of beneficiary establishments, helping them become significant entities within the industry.
Additionally, it seeks to provide necessary guarantees for financing and increase funding for businesses in entertainment and related services, including supply chain and infrastructure, enhancing the sector’s ecosystem and promoting sustainability.