Emirates Development Bank has started a new fund called the Emirates Growth Fund, with AED 1 billion set aside to support small and medium-sized businesses (SMEs) in the UAE.
The bank created this Fund to help small and medium-sized businesses in the UAE grow faster, become stronger, and compete better with companies around the world.
The Fund will offer several benefits, such as long-term loans and support for building strong partnerships. It will focus on helping companies with big growth potential in key areas like manufacturing, food security, healthcare, and advanced technology.
The Emirates Growth Fund (EGFF) is meant for small and medium-sized businesses based in the UAE that show strong growth potential and usually make at least AED 10 million in sales annually.
The Fund invests between AED 10 million and AED 50 million in each company. It follows a hands-on approach but allows the founders to keep control of running the business.
At the same time, the Fund offers helpful advice and support in important areas like business planning, improving operations, setting up better management, and helping the company grow and develop.
The Fund focuses on key areas that match the UAE’s long-term goals, such as building a stronger industrial sector and supporting local supply chains.
It also aims to create good job opportunities for skilled workers in the country.
The Fund is also meant for companies that have already moved past the early startup stage but still need flexible, long-term investment to help them grow, reach their full potential, and succeed in the long run.
The Fund helps business founders grow sustainably, improve how their companies are managed, and build strong national businesses that contribute to the future of the UAE’s industry.
Dr. Ahmed Belhoul Al-Falasi, Minister of Sports and Chairman of the Fund, explained that the Fund focuses on filling a gap in funding that many small and medium-sized businesses face. This gap, called the “middle gap,” happens when a company is too advanced to get startup funding but still too new or different to qualify for traditional private investment. Even though these companies don’t fit into the usual funding options, they are still very important to the business world.
By offering strong support and long-term investment, the Fund aims to find and partner with businesses with great potential to grow, boost local industries, create jobs, and help strengthen the UAE’s economy in the future.
It’s important to note that the Fund’s first investment in the healthcare sector was in “Restor Hospital for Orthopedics and Spine Surgery.”
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