Monsha'at, STC Bank Launch SAR 5bn SME Financing

منشآت (Monsha'at) and STC Bank have agreed to a Shariah-compliant digital financing portfolio worth SAR 5 billion (about $1.33 billion) aimed at Saudi micro, small and medium enterprises across a wide range of economic sectors. The deal is designed to widen access to funding for one of the most important segments of the national economy.

All products in the portfolio are structured under Islamic finance principles, with no interest and the use of permissible contract structures. The facilities cover short-, medium- and long-term needs, on both a cash and non-cash basis, with tenors of up to 10 years for eligible facilities.

What the funds can be used for

The financing supports a broad set of business needs, including working capital and day-to-day operations, the purchase of assets and equipment, and contract and project financing for awarded projects. It also covers financing against point-of-sale (POS) proceeds, invoice and accounts-receivable financing, supply-chain and trade finance through guarantees and letters of credit, support for e-commerce activities, and business credit cards for SMEs.

Applications and servicing are expected to run through STC Bank's digital banking channels and Monsha'at's SME support platforms. As of September 2026, no detailed fee schedule, profit-rate table or exact per-product pricing has been published for this specific portfolio, and no official requirement has been stated that applications go through a particular government platform. Standard SME registration and regulatory requirements may apply.

For residents and business owners in the Kingdom, the agreement signals continued momentum in expanding funding options for small firms, which employ large numbers of workers and play a central role in Saudi economic diversification.

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