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Saudi Arabia has unveiled a strategy aimed at generating more than 500,000 jobs across the nation, primarily through the expansion and enhancement of small and medium-sized enterprises (SMEs). The Saudi Cabinet's approval of the National Entrepreneurship and Small and Medium Enterprises Strategy on Tuesday outlined 13 initiatives designed to bolster the business environment and elevate SMEs' contribution to the country's GDP to a projected 35 percent by 2030.

Dr. Majid Al Qasabi, the Minister of Commerce and Chairman of the General Authority for Small and Medium Enterprises (Monsha’at), emphasized that the strategy is intended to foster an entrepreneurial ecosystem, facilitate business growth and expansion, and augment the national economy's participation from SMEs. The 13 initiatives constitute an integrated framework addressing crucial aspects such as access to financing and markets, operational capabilities, regulation, innovation, and measures aimed at reducing operational costs.

The strategy sets an ambitious target for Saudi Arabia to attain the top global ranking by 2030 in entrepreneurial skills and knowledge. Dr. Al Qasabi highlighted that the plan embodies the leadership's commitment to nurturing entrepreneurship and SMEs, marking a shift towards a more integrated and efficient ecosystem that would provide businesses with greater opportunities to grow and compete both domestically and internationally.

Implementation of the strategy will necessitate coordination among various government entities to enhance SMEs' access to opportunities across sectors, promote their involvement in value chains and major projects, and enable their participation in new domestic and international markets. The strategy represents a departure from merely supporting business establishment to creating conditions that empower companies to scale and compete effectively in both local and global markets.

Key initiatives include programs to foster commercial innovation, support SMEs and startups operating in industrial cities and special economic zones, facilitate international expansion and increased exports, and enhance SMEs' participation in government procurement and purchases by major entities. Additionally, the strategy calls for the establishment of a comprehensive database for SMEs that would be interconnected with relevant databases within the entrepreneurship ecosystem.

Saudi Arabia plans to attract and integrate innovative international startups, review minimum Saudisation requirements based on sectoral needs, and introduce measures to minimize business costs. Other initiatives focus on enhancing financial literacy, developing financing tools, and providing incentives to institutions financing SMEs. Dr. Al Qasabi stated that the strategy is designed to enable SMEs to capitalize on economic opportunities and strengthen their role in the Kingdom's development under Vision 2030.