Business & Money | Monday 22 July, 2019 9:00 am |

The Council of Ministers decided earlier this month to approve the amendment of the Saudi Industrial Development Fund, after reviewing the recommendation prepared by the Economic Affairs Council and considering the decision of the Shura Council.

Um Al Qura newspaper published details of the regulations and regulations of the amendments, which included the independence of the Fund, to enjoy the public legal personality and financial and administrative independence and is organizationally linked to the National Development Fund.
The amendments included that the Fund shall apply modern banking management methods in accordance with the established professional standards. The Fund's headquarters shall be located in the city of Riyadh and branches shall be established as required.
The amendments also included the objectives of the Fund, which are in support of industrial and economic development in the Kingdom, in accordance with the strategies adopted in this regard.
The Fund's mandate was to provide financing to private enterprises established in the Kingdom, operating in the fields of industry, mining, energy, industrial services, support services, logistics, technology development and infrastructure.
It also represents financing to facilities outside the Kingdom owned or contributed by Saudi investors for the purpose of technology transfer or integration with national industry.
As well as providing economic or technical management advice, and providing guarantees not exceeding 10 per cent of the paid-up capital of the Fund.
As well as the establishment and management of specialized academic training centers in the fields of finance, industry, energy, technology, mining and logistics, and the provision of specialized training programs in these areas.
Including lending, other forms of financing, acceptance of mortgages and other guarantees of repayment, as well as borrowing, issuing sukuk, bonds and other debt instruments, and so on.
With regard to investment policy and loans, the amendments stipulate that the government policy, programs and strategies constitute the basic principles of the Fund's activity in supporting and encouraging industry and other economic activities of interest in the Kingdom.
It stipulated that the Fund should cooperate with the competent governmental bodies and institutions in order to achieve this and coordinate its activities and activities.
And that the Fund may invest excess liquidity in investments inside or outside the Kingdom until such funds are used in its operations.
Article 9 amendments include that the Fund shall have an Executive Chairman appointed in his office and exempted from it by a decision of the Board of Directors. The Board of Directors shall determine its powers, competencies, remuneration and other financial advantages.
The amendments also included that the employees of the Fund shall be subject to the labor system and social insurance system.