SME fund-backed projects generate 202 million dinars in annual revenue
Projects financed by Kuwait’s National Fund for the Care and Development of Small and Medium Enterprises have recorded approximately 202 million dinars in combined annual revenue, highlighting the contribution of fund-supported businesses to economic activity despite the suspension of new financing for several years.
According to the latest financial data submitted by the businesses, 455 previously financed projects generated the revenue, reflecting the scale of operations established by entrepreneurs who received funding either to launch their ventures or to develop and expand existing businesses.
The results offer an indication of the economic potential of state-backed entrepreneurship, with projects operating across services, commerce and industry. Among them, 19 recorded annual revenue exceeding 1.5 million dinars each, while another 11 generated between 1 million and 1.5 million dinars.
Profitability figures also point to the performance of a substantial number of funded businesses. During 2025, 96 new projects financed by the fund reported combined net profits of nearly 5 million dinars, while 320 projects recorded profits totalling approximately 3 million dinars.
The projects cover a broad range of commercial activities and business models. Based on their classification when applying for funding, the portfolio includes 154 new service-sector projects and 41 existing businesses in the same sector. The industrial category comprises 28 new projects and 11 existing businesses, while the commercial sector includes 130 new projects and 42 existing ones.
Beyond their individual financial performance, these businesses contribute to wider economic activity through supply chains, operations, marketing, transportation and professional services. Their demand for goods and services can also create opportunities for other establishments, extending the benefits across the local market.
While the performance of each business ultimately depends on its owners’ management capabilities, risk assessment and ability to adapt to changing market conditions, access to financing has provided entrepreneurs with an opportunity to establish or expand their operations. The experience of these businesses offers a basis for identifying the factors that support their sustainability and determining how they can achieve further growth.
Assessing the fund’s economic impact
The results also highlight the importance of evaluating the fund’s performance beyond the number of loans issued or debts collected. A comprehensive assessment would consider revenue, profitability, business continuity, expansion, repayment commitments and the number of employment opportunities created for Kuwaitis.
Studying the performance of successful projects, alongside the challenges faced by businesses that have struggled, could help improve support mechanisms and strengthen the contribution of small and medium enterprises to the national economy.
The experience is also relevant to Kuwait’s New Kuwait 2035 development vision, particularly its objectives of diversifying economic activity, increasing non-oil revenues and improving the business environment for the private sector. Businesses that have grown from modest beginnings with the help of public financing offer practical examples of how entrepreneurship can contribute to these goals.
Debt settlements reach 2.8 million dinars
Alongside the reported business successes, the fund has continued efforts to assist entrepreneurs facing financial difficulties and help them regularise overdue payments while protecting public funds. During the first nine months of the current year, settlements were reached covering overdue installments and debt rescheduling valued at approximately 2.8 million dinars.
Under the agreed terms, these settlements provide eligible business owners with an opportunity to halt enforcement proceedings, reorganise their financial obligations and resume payments while safeguarding the fund’s financial rights.
Cooperation from business owners, particularly through the submission of financial statements and other relevant information, helps officials assess each case, determine repayment capacity and establish settlement arrangements that reflect individual circumstances and support compliance with agreed commitments.
The combined picture of revenue-generating projects and debt settlements highlights two parallel priorities for the fund: enabling viable enterprises to grow and ensuring the recovery of public money. Evaluating both outcomes can help inform future support policies and strengthen the long-term role of small and medium enterprises in Kuwait’s economy.
