Saudi Arabia approves SME strategy targeting 35% GDP by 2030
Cabinet decision formalises Vision 2030 target as sector reaches 22.9 percent of GDP with 1.7 million registered enterprises.
Saudi Arabia's Cabinet approved the National Strategy for Entrepreneurship and Small and Medium Enterprises on 15 September 2026, according to the Saudi Press Agency. Crown Prince and Prime Minister Mohammed bin Salman chaired the Council of Ministers meeting in Jeddah where the approval was granted. The strategy sets a target for small and medium-sized enterprises to contribute 35 percent of GDP by 2030, compared with 22.9 percent recorded in 2025.
Saudi SME strategy formalises Vision 2030 target#
The Cabinet announcement did not disclose detailed pillars, initiatives or implementation targets under the newly approved strategy. The decision was among ten formal decisions approved by the Cabinet. Monsha'at, the Small and Medium Enterprises General Authority, began operations in 2016 with a mandate covering regulation, support, development and sponsorship of the sector. The 2030 target of 35 percent represents an increase of 12.1 percentage points from the 2025 level during the remaining years of the transformation programme.
Sector reaches 1.7 million enterprises employing 8.8 million#
According to the Vision 2030 Annual Report 2025, more than 1.7 million SMEs operated in the Kingdom in 2025, compared with more than 429,000 in 2016. Around 8.8 million people worked in the sector in 2025. Saudi youth owned more than 474,000 enterprises. The sector contributed 22.9 percent to Saudi GDP in 2025.
Funding to SMEs reaches SAR 470 billion#
Saudi Central Bank figures released at Monsha'at's Funding Week in May showed nearly SAR 470 billion in funding to micro, small and medium-sized enterprises, the highest level on record and 33 percent higher than the previous year. Monsha'at, the SME Bank, the Kafalah financing guarantee programme and Saudi Venture Capital support the entrepreneurial ecosystem.
Kingdom ranks first in entrepreneurial finance index#
The 2025–2026 Global Entrepreneurship Monitor report, cited by Monsha'at, placed Saudi Arabia at the top of high-income economies in the Entrepreneurial Finance index for 2025. The Kingdom placed third worldwide in the National Entrepreneurship Context Index, which measures conditions supporting entrepreneurship. The rankings follow measures introduced in recent years including expanded financing access, regulatory changes, startup support programmes and venture investment attraction.
Sources1 source across 1 domain
- economymiddleeast.comEconomy Middle EastCabinet approval date, Crown Prince chairmanship, 35 percent GDP target, 22.9 percent 2025 contribution, 1.7 million enterprises, 8.8 million employees, 474,000 youth-owned enterprises, SAR 470 billion funding figure, Monsha'at establishment date, entrepreneurial finance ranking
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