Saudi fintech firm Tarmeez Capital has unveiled a government-backed SAR 4 billion, approximately USD 1.06 billion, financing portfolio to accelerate SME growth in the kingdom. The initiative, launched with the Small and Medium Enterprises General Authority, known as Monsha’at, targets entrepreneurs who face persistent funding gaps. It was announced on Tuesday on the sidelines of Biban 2025 in Riyadh, underscoring the program’s national profile.
Announcement Details
The portfolio is designed to broaden access to capital for small and medium enterprises through structured, Shariah-compliant instruments. Tarmeez and Monsha’at framed the launch as a direct response to the financing needs of the sector, prioritizing scale, efficiency, and predictable cost of funds. The partners said the facility will enable companies to secure growth capital while maintaining adherence to Islamic finance principles.
Financing Mechanics
At the core of the program are sukuk-based solutions that package SME receivables and cash flows into investable Shariah-compliant securities. This structure aims to reduce financing frictions, improve pricing transparency, and create repeatable issuance capacity as demand expands. By standardizing products around sukuk, Tarmeez intends to match institutional investor appetite with SMEs’ working capital and expansion needs.
Policy Alignment
The initiative aligns with Saudi Vision 2030, which positions SMEs as a key engine for job creation, innovation, and economic diversification. Officials emphasized that improving credit access is central to raising the sector’s GDP contribution and competitiveness. The program’s design, built around Islamic instruments, also reflects the strategic objective to deepen domestic capital markets.
Event Context
Unveiled during Biban 2025, a flagship entrepreneurship forum, the announcement capitalized on a gathering of founders, financiers, and policymakers. The timing highlighted growing policy momentum to expand SME financing channels beyond conventional bank lending. It also put Tarmeez’s offerings in front of prospective issuers and investors who are actively scouting scalable funding models.
SME Ecosystem Impact
Greater availability of sukuk financing could help founders smooth cash cycles, invest in technology, and scale regional operations. The partners expect simpler onboarding and faster execution to draw more first-time issuers into capital markets. Over time, a deeper pipeline of SME sukuk could lower average costs as issuance volumes and investor familiarity increase.
Tarmeez Track Record
Tarmeez Capital operates a debt investment platform that focuses on Shariah-compliant solutions across business segments. As of July 2025, the company has facilitated more than SAR 2 billion in financing, providing the operational base for a larger nationwide program. Founded in 2022 by Nasser Alsaadoun, the firm has emphasized product innovation, underwriting discipline, and investor yield quality.
Leadership Commentary
“The launch of this portfolio in partnership with Monsha’at reflects our vision to develop sustainable financing instruments that contribute to supporting economic growth and empowering entrepreneurs and enterprises,” said Mansour Al-Saadoun, Board and Executive Advisor at Tarmeez Capital. The company said the framework is intended to enhance financing efficiency while meeting the specific needs of founders in different stages. Monsha’at’s involvement is expected to support risk sharing, accelerate adoption, and ensure alignment with policy goals.
The Tarmeez-Monsha’at portfolio marks a significant expansion of Shariah-compliant market options for Saudi SMEs seeking scale. By anchoring the program in sukuk and aligning it with Vision 2030, the partners aim to unlock capital at speed and at scale. If execution matches ambition, the initiative could deepen local capital markets and set a repeatable template for SME financing across the kingdom.