Bahrain has launched a $185 million SME Fund to strengthen the role of small and medium enterprises in the national economy. The initiative was announced during the Gateway Gulf 2025 Forum by Abdulla bin Adel Fakhro, Minister of Industry and Commerce and Chairman of the SME Development Council.
The fund represents a major step toward achieving Bahrain’s Economic Vision 2030. It is supporting entrepreneurship, innovation, and sustainable development across key sectors.
Strengthening Access to Finance for SMEs
The Bahrain Development Bank (BDB) will manage the SME Fund and offer Sharia’a-compliant financing exceeding $185 million. The fund provides flexible repayment terms of up to five years. Tamkeen is now covering up to 50% of the profit rate to ease financial pressure on entrepreneurs.
Key features of the SME Fund include:
- Simplified application and approval procedures.
- Affordable financing tailored to business needs.
- Dedicated support for startups and existing SMEs.
- Focus on innovation, sustainability, and inclusivity.
Applications open on November 10 at BDB’s headquarters in the Diplomatic Area, where a team will assist applicants. Entrepreneurs can also contact 17511000 for guidance and personalized support.
A Public-Private Collaboration for National Growth
The fund was established through a strategic partnership between the Bahrain Development Bank, National Bank of Bahrain (NBB), Bank of Bahrain and Kuwait (BBK), and Al Salam Bank.
Minister Abdulla bin Adel Fakhro highlighted that the initiative reflects the government’s ongoing efforts. This is being done under the leadership of His Royal Highness Prince Salman bin Hamad Al Khalifa, to empower the private sector and drive SME-led growth. He emphasized that the fund aligns with Bahrain’s vision of fostering a sustainable, innovation-driven economy.
Empowering Entrepreneurs and Driving Innovation
BDB’s Group CEO, Dalal Al Qais, stated that the fund reinforces the bank’s mission to help Bahraini entrepreneurs scale, innovate, and contribute to national development. She noted that beyond capital, BDB aims to build a more inclusive and resilient economy.
Maha Abdulhamid Mofeez, CEO of Tamkeen, added that this collaboration enhances productivity. Additionally, it helps in job creation by providing SMEs with the financial tools to grow.
Yaser Alsharifi, CEO of BBK, and Usman Ahmed, CEO of NBB, reaffirmed their commitment to supporting SME growth and fostering innovation through tailored financing solutions.
Rafik Nayed, CEO of Al Salam Bank, emphasized that the initiative promotes entrepreneurship. He added that this strengthens cooperation between public and private sectors to build a more diversified and inclusive economy.
Advancing Bahrain’s Economic Vision 2030
The SME Fund highlights the power of collaboration in advancing Bahrain’s diversification goals. By improving financial access, promoting innovation, and encouraging private-sector growth, the fund serves as a cornerstone for a stronger and more competitive national economy.