Abu Dhabi’s Khalifa Fund for Enterprise Development has unveiled a suite of specialised funding products targeting Emirati-launched companies in key industries including healthcare, education and agriculture.
The initiative which provides medium-term interest-free loans to Emirati entrepreneurs, aims to drive growth across sectors seen as priorities for Abu Dhabi’s economic diversification, Khalifa Fund CEO Alia Al Mazrouei told Arabian Business in an interview.
The state-backed fund, one of Abu Dhabi’s largest SME backers, is now accepting loan applications from local firms operating for at least two years in healthcare, education, agriculture, ICT, tourism and manufacturing.
Among the seven new lending facilities introduced are financing for working capital, receivables, assets like vehicles and machinery, e-commerce inventory, and competitive solutions to foster agri-tech innovation.
The funding products will also be available to businesses looking to open a new brand provided they operate in these specialised sectors are are three years or older.
Tailored support for Emirati entrepreneurs
“These products are tailored to each sector’s unique needs at different stages,” said Al Mazrouei. E-commerce firms, for example, can now better manage inventory fluctuations with up to 80 percent inventory financing.
“As businesses mature and seek to expand, funding products like Financing Fixed Asset (Vehicles and Logistics) and Financing Fixed Asset (Equipment and Machinery) become particularly relevant. These products provide entrepreneurs with the means to acquire essential assets, whether it’s vehicles, machinery, or equipment,” Al Mazrouei explained.
The initiatives are expected to have widespread economic benefits by facilitating private sector expansion.
Early success stories already exist. Tafaseel Business Services revolutionised outsourcing through a people-centred, tech-driven model and the National Factory for Safety and Security products delivers high-quality protective gear using advanced German technology – both bolstered by previous Khalifa Fund support, she said.
As CEO, Al Mazrouei’s vision is to offer bespoke assistance to help priority sector companies scale up. This pivotal role supporting local businesses aims to solidify Abu Dhabi’s position as an entrepreneurial hub, she said.
Sustained edge
The new funding products are expected to solidify Abu Dhabi’s status and sustain its “competitive edge” as a regional startup hub, Al Mazrouei said.
“By offering specialised financial support to businesses, Abu Dhabi becomes an even more attractive destination for entrepreneurs and innovators.”
Continued investments in education, research collaboration and regulations will be key to maintaining this competitive edge in attracting regional startups long-term, according to the CEO.
“It’s a multi-faceted effort involving financial support, infrastructure development, education and a conducive regulatory framework to sustain and expand this thriving ecosystem,” she added.
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