The Bahrain Association of Banks (BAB) has addressed ways to overcome the challenges facing many small and medium enterprises (SMEs) when applying for financing from banks.
"We all know how important SMEs are, which make up more than 95% of the number of enterprises in Bahrain. We seek to help these institutions rise and grow. One BAB’s performance indicators is to increase the share of SME financing in a phased manner and on a gradual basis to reach 20% of the local financing portfolio of retail banks by the end of 2025,” said Dr Waheed Al Qassim, CEO of BAB.
Chairing a meeting attended by several Bahraini banks and insurance companies, Dr Al Qassim said: “Various Bahraini banks and insurance organisations are keen to provide finance for SMEs.”
The meeting focused on the significant role played by the Labour Fund (Tamkeen) in supporting SMEs in the framework of boosting the private sector's role in overall development.
The meeting affirmed the readiness of banks to expand their provision of financing through guarantor partners such as Tamkeen or other programmes and initiatives. This is within the framework of Bahraini banks' keenness to advance economic development in Bahrain.
Dr Al Qassim pointed out that BAB is working out a proposal that guarantees the rights of all parties and achieves their interests.-- TradeArabia News Service