"Monsha'at" Monitor: 78% Growth Rate in Commercial Registrations During the Second Quarter of 2024

Sunday 01 September 2024
"Monsha'at" Monitor: 78% Growth Rate in Commercial Registrations During the Second Quarter of 2024

The Small and Medium Enterprises General Authority, "Monsha'at," has issued the Small and Medium Enterprises Monitor report for the second quarter of 2024, which highlights the latest figures and notable case studies related to small and medium enterprises and initiatives supporting their growth, as well as the trade and financial technology sectors. The report confirmed a growth in the number of commercial registrations compared to the same quarter last year, reaching 78%. This growth was distributed as follows: 32% in Riyadh, 23% in the Makkah region, and 15% in the Eastern Province. Additionally, the percentage of commercial registrations issued for women-owned enterprises was 45%, indicating the active role of the private sector in driving the development of the national economy. The report noted that the total number of active commercial registrations reached 1.5 million by the end of the second quarter of 2024, with 38% of these registrations belonging to youth-owned enterprises. In the financial technology sector, the report indicated that the number of active companies since the launch of the "Fintech Saudi" initiative in 2018 has reached 216, with venture capital investments exceeding 6.9 billion riyals in the sector. This has contributed to enhancing the Kingdom's position as a center for innovation in this thriving sector. The report featured an interview with Salah Khashoggi, founder and managing director of "Tamra Capital," who confirmed that the Kingdom is one of the leading countries in the global financial financing sector, discussing the company's establishment stages and some challenges it encountered in the financial technology field. Moreover, the report stated that the number of beneficiaries from the "Fintech Saudi" initiative has exceeded 100,000, and the Kingdom aims to establish 525 new companies in the financial technology sector to meet the increasing consumer demand and enhance liquidity levels. On another note, the report highlighted that the liquidity in the financial technology sector in the Kingdom reached 2.8 trillion riyals by the end of May 2024, reflecting an annual increase of 8.6%.The report included an interview with Osama Al-Raie, co-founder and CEO of "Lendo," who confirmed that the upcoming phase will see the attraction of more international and institutional funds to enhance financing for small and medium enterprises, as well as the creation of new products to meet the needs of these enterprises. He noted that the strength of the economy, supported by the targets and achievements of Saudi Vision 2030, provides an ideal environment for the growth of small and medium enterprises. The report also featured Noura Al-Sarhan, Vice President and CEO of Investment at the "Saudi Venture Capital Company," who emphasized that the steady growth in recent years has led to a record amount of venture capital funding in 2023, making the Kingdom the most funded market in the Middle East and North Africa. She stated, "This is a historic achievement that reflects our commitment to achieving the targets of Vision 2030 by enhancing entrepreneurship and stimulating investment in startups." She mentioned that last year, they achieved a record of 5.25 billion riyals in venture capital funding, pointing out that the Saudi Venture Capital Company plays a pivotal role in encouraging private sector investors to enhance the growth of the private capital ecosystem. As of the first half of 2024, the company had invested over 3.1 billion riyals in 49 funds, supporting more than 700 startups and small enterprises. Spiros Margaris, founder of "Margaris Ventures," confirmed that the Kingdom is making significant strides in creating a flexible regulatory environment that supports innovation in the financial technology sector, having launched key initiatives to achieve this goal, including the establishment of regulatory funds that provide a safe space for startups to test new ideas without bearing the regulatory burden.  It is worth noting that the "Small and Medium Enterprises Monitor" report can be accessed through the following link: https://www.monshaat.gov.sa/sites/default/files/2024-09/Monshaat%20Monitor%20Q2%202024%20AR.pdf. This report is part of a series of quarterly reports issued by "Monsha'at," which present the latest developments in the entrepreneurial environment, along with the latest figures and statistics, as well as a series of specialized reports that "Monsha'at" periodically issues on topics of interest to entrepreneurs in the Kingdom, aiming to provide a reliable reference for information and statistics for entrepreneurs, investors, and interested parties.  

Do you like the content ?

latest changed date 22 September 2024

Comments and Inquiries

No available comments.

Latest news

Biban24 Forum to Feature International Agreements, Major Launches

"Biban24 "A Catalyst for Entrepreneurship and Investment with over 45 Funding Entities

Over 40 Public and Private Entities at Hand for Entrepreneurs at 'Biban24'

"Monsha'at" to Host Biban 24 Forum in November