This orient will raise the GDP from non-oil exports, enforce innovation and nationalize the tech sector
HE the minister of trade and investment Dr. Majed Abdullah Al-Kassabi expressed his gratitude to King Salman bin Abdulaziz Al Saud - May Allah preserve him – for the Ministerial decision in activating the private sector role and increase its contribution to the gross domestic product through promoting venture capital investments and private ownership. The ministerial decision includes many arrangements one of which is: by the collaboration between Public Investment Fund and the ministry of commerce and investment a holding fund should be established under the name Fund of Funds with a capital estimated four billion Saudi Riyal. The aim of this fund is to invest in the venture capital and the private ownership in accordance with trade foundations to support and promote investment opportunities in the small and medium enterprises.
HE the minister of trade and investment said that the ministerial decision stated that a professional association should be established to raise the level of professionality and Professionalism in venture capital and private ownership sector. The ministry will set the regulations, procedures, objectives and the mechanism for the association to fulfill its target. The ministry in collaboration will related organization will work on facilitating and support to venture capital and private ownership practice and reduce the expected obstacles. The Public Investment Fund will work on attracting international venture capital fund investments to the Kingdom.
HE stated that this decision is considered an essential element to support and enable SMEs, motivate the entrepreneurs and support their businesses in parallel with the national transformation plan 2020. Also, it will raise the levels of GDP and non-oil exports, nationalize the tech sector and create more job opportunities.