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The National Fund for Small and Medium Enterprises Development is preparing to approve new financing programs for agriculture and energy

New Date: 2018-03-05

Sources close to Al-Rai newspaper said that the Board of Directors of The National Fund for Small and Medium Enterprises Development met with the Kuwait Institute for Scientific Research (KISR) in an effort to approve new financing programs for agricultural transformational projects as well as renewable energy.

The sources said that there are existing agricultural projects in Kuwait, some of which have already been funded by the Fund, but they are still limited, and do not live up to ambition, because of the nature of Kuwait, which dominated the territory of the geography of the Sahara.

The sources pointed out that the discussion between the Fund and the research was about the Institute developing a comprehensive vision of the agricultural projects that can be funded by the Fund and the fields of investment therein, where it is planned to identify the opportunities available in the agricultural sector that are suitable for the initiators, while preparing their technical data.

She pointed out that there are difficulties facing local agricultural work. This is part of the Fund's discussion with the official scientific advisory body on which the state relies. The obstacles will be identified for the development of suitable projects in Kuwait and how to deal with them within an agricultural program.

The sources pointed out that the program will include the development of scientific studies to ensure the advancement of the local agricultural sector, through a scientific framework of opportunities and types, which can contribute to the support of the local food security system and the opening of external markets for national agricultural products, noting that the trend is also based on To qualify the initiators and the Fund's staff involved in evaluating the projects of the proposed initiators, so that they can build an accurate view of the studies submitted to them.

The fund's program for this sector is expected to expand to include additional projects in the future. It is possible to transfer the program to financing projects in the field of fish and shrimp farming, as well as livestock projects and other projects related to agriculture.

Fund officials also discussed with the Research Institute the development of a financing program for renewable energy projects to achieve the vision of His Highness the Emir to secure 15% of Kuwait's energy demand from renewable sources such as wind and solar energy by 2030.

The program will include multiple investment opportunities for small and medium-sized enterprises, including the design of energy systems and technical consultancy, installation, operation and maintenance of energy systems, development of smart phone applications to follow up the operation of these systems, and training and qualification of consumers and employees of small and medium enterprises on the uses of these systems.

The sources pointed out that it is expected that the research institute will complete the program within 14 to 16 weeks of signing the joint contract, noting that the implementation of these programs requires the concerted efforts of all government agencies such as the Kuwait Institute for Scientific Research, Kuwait Municipality, the General Authority for Agriculture and Fisheries, Kuwait Foundation for the Advancement of Sciences And others.

The Board of Directors of the Fund recently approved 4 financing programs for new entrepreneurs and existing SMEs in an effort to facilitate investors in this sector. The sources indicated that one of these programs provides monetary and non-monetary facilities for existing SMEs, in order to address the challenges faced by the initiators For the time being because they do not have a credit record through which they can obtain cash and non-monetary facilities from banks. Kuwait University is currently preparing these programs.