A new set of initiatives was launched to support the main economic sectors Saudi Arabia, in the wake of the outbreak of the novel coronavirus.
The Saudi Arabian Monetary Authority (SAMA) announced a set of measures and guidelines for banks to limit the negative impact of the crisis.
On Thursday, SAMA stated that a royal order was issued to release a monthly compensation that is equivalent to 60 percent of the wage registered in social insurance for a period of three months, for Saudis working in private sector enterprises.
SAMA also instructed commercial banks to support businesses and individuals affected by the crisis through restructuring loans without charges and reviewing different fees to adjust to the drop in interest rates.
Earlier this month, a royal decree was issued unlocking an additional SAR 9 billion ($2.4 billion) to cover part of private sector salaries in heavily impacted sectors. The decree provides that the government will compensate 60 percent of those salaries for a period of three months. More than 1.2 million citizens are expected to benefit from this measure.
In parallel, the Saudi Industrial Development Fund (SIDF) has approved three additional initiatives that include the restructuring of loan installments for small and medical enterprises that are due in 2020.
The Fund also launched a new financing product to support all manufacturers of medical supplies and medicines to purchase raw materials, as well as an initiative to finance operating expenses for small and medium enterprises (SMEs) clients.
The SIDF noted that the new initiatives were aimed at supporting the national efforts of controlling the financial and economic implications arising from the coronavirus (COVID-19) on the local private sector.
