Abu Dhabi recently introduced a new interest-free, long-term loan scheme offered by the Khalifa Fund for Enterprise Development, aiming to support licensed Emirati start-ups in priority sectors. This funding program ranges from Dh150,000 to Dh3 million, providing flexible payment terms of up to 84 months with a grace period of up to 24 months. The three categories of funding programs include the Start-up funding program, the Expansion loan, and the Agri-tech funding program, each catering to different needs within the entrepreneurial ecosystem.
The Start-up funding program covers micro start-ups with costs not exceeding Dh1 million through the ‘Microfinance Loan’. Additionally, it includes the ‘Small Loan’, which finances up to 80 per cent of the total cost of new small and medium businesses (SMEs) within various sectors. The Expansion loan is designed for successful SMEs looking to expand their business, providing financing of up to 80 per cent of total expansion costs. Finally, the Agri-tech funding program supports the adoption of modern agricultural technologies, focusing on enhancing product quality, safety, and efficiency.
Furthermore, Abu Dhabi has launched a funding project to support modern farming methods with the ‘Net House Development Fund’ and the Water Management System Enhancement Fund. These initiatives aim to finance the establishment or expansion of net houses, as well as advanced water management technologies to promote sustainable practices. Alia Abdullah Al Mazrouei, Minister of State for Entrepreneurship and CEO of Khalifa Fund, highlighted the importance of these financing programs in aligning with Abu Dhabi’s Economic Vision 2030 and supporting innovative entrepreneurs in key sectors.
The funding programs have been redesigned as bespoke funding products to cater to the evolving market demands and consumer trends. They aim to provide entrepreneurial ventures with the financial resources necessary to unlock their business potential within critical sectors that contribute significantly to Abu Dhabi’s GDP. By nurturing SMEs and fostering innovation, Abu Dhabi aims to strengthen its global reputation as a supportive environment for start-ups and an innovation hub. The focus on key sectors and sustainable practices underscores the commitment to driving economic growth and fostering entrepreneurship in the region.
Overall, the introduction of these funding programs reflects Abu Dhabi’s commitment to supporting the growth of start-ups and SMEs, particularly in priority sectors. By providing interest-free, long-term loans with flexible payment terms, the Khalifa Fund for Enterprise Development aims to empower entrepreneurs and drive innovation in key industries. The Agri-tech funding program also highlights the importance of adopting modern agricultural technologies to enhance productivity and sustainability. Additionally, the focus on modern farming methods and water management systems underscores the commitment to promoting sustainable practices and environmental conservation. As Abu Dhabi continues to invest in its entrepreneurial ecosystem, these funding programs serve as a catalyst for growth and development in the region.
