Saudi Arabia, UN Renew Empretec Program for Entrepreneurs

The Social Development Bank of Saudi Arabia has signed a Memorandum of Understanding with the United Nations Conference on Trade and Development (UNCTAD) to renew cooperation on the Empretec program, a flagship global initiative for entrepreneurial capacity-building. The agreement was signed at the bank’s headquarters in Riyadh on December 2, 2024, and underscores the Kingdom’s commitment to fostering small businesses and startups as a cornerstone of economic diversification.

Context and Background

The Empretec program, established by UNCTAD, is a globally recognized initiative that provides training workshops and tools to develop effective entrepreneurial behaviors. Originally launched in the 1980s, it has been implemented in over 40 countries, helping thousands of entrepreneurs strengthen their enterprises. The renewal of this collaboration reflects Saudi Arabia’s sustained focus on nurturing a vibrant entrepreneurial ecosystem, aligning with the goals of Vision 2030 to reduce dependence on oil revenues and promote innovation-driven growth.

Key Details

The MoU outlines support for entrepreneurs and owners of small enterprises and startups through training, qualification, and the development of entrepreneurial skills and behaviors. The program aims to implement quality projects that contribute to sustainable economic development. By enhancing the efficiency of beneficiaries via innovative training programs, the initiative aims to diversify income sources and strengthen communication among graduates both locally and globally. The Social Development Bank has been a key driver of such efforts, actively promoting small and medium-sized enterprises (SMEs) as a vital component of the Kingdom’s economic landscape.

Implications and Impact

The renewed partnership with UNCTAD is expected to have significant regional and international implications. For Saudi Arabia, it will equip local entrepreneurs with globally recognized skills, enabling them to compete in international markets and contribute to job creation. On a broader scale, it reinforces the Kingdom’s role as a leader in entrepreneurship development within the Middle East and North Africa, setting a benchmark for other nations. The program’s focus on capacity building also supports the United Nations Sustainable Development Goals, particularly those related to decent work and economic growth.

Vision 2030 Alignment

This collaboration directly advances Vision 2030 by placing entrepreneurship as a key pillar for economic and social development. By empowering small businesses and startups, the Empretec program helps create a diversified, knowledge-based economy that generates employment and fosters innovation. As Saudi Arabia continues to implement its transformative agenda, such partnerships ensure that local entrepreneurs have the tools and networks needed to thrive, contributing to a prosperous future for the Kingdom and its people.

20 Questions

Q1. What is the Social Development Bank?

A1. The Social Development Bank is a Saudi government institution that provides financial and non-financial support to small businesses and startups, aiming to promote entrepreneurship and economic diversification under Vision 2030.

Q2. What is UNCTAD?

A2. UNCTAD is the United Nations Conference on Trade and Development, a body that promotes sustainable development through trade, investment, and capacity-building programs for developing countries.

Q3. What is the Empretec program?

A3. Empretec is a flagship UNCTAD program that provides training workshops to develop entrepreneurial capacities, helping small business owners and startups improve their skills and grow their enterprises globally.

Q4. When was the MoU signed?

A4. The MoU was signed on December 2, 2024, at the Social Development Bank’s headquarters in Riyadh, Saudi Arabia.

Q5. What is the purpose of the MoU?

A5. The purpose is to renew cooperation between the Social Development Bank and UNCTAD to implement the Empretec program, focusing on training and capacity building for entrepreneurs in Saudi Arabia.

Q6. Who benefits from this program?

A6. The program benefits entrepreneurs, owners of small enterprises, and startups in Saudi Arabia, providing them with skills and tools to enhance their businesses and contribute to economic development.

Q7. How does Empretec support entrepreneurs?

A7. Empretec supports entrepreneurs through global training workshops that build effective behaviors, improve skills, and provide innovative qualification programs to enhance business efficiency and growth.

Q8. What is the link to Vision 2030?

A8. The Empretec program aligns with Vision 2030 by promoting entrepreneurship as a key driver of economic diversification, job creation, and sustainable development in Saudi Arabia.

Q9. How does this initiative create jobs?

A9. By strengthening small enterprises and startups, the program enables them to expand, hire more employees, and contribute to local employment, thereby reducing unemployment rates.

Q10. What training methods are used?

A10. The program uses innovative training workshops and qualification programs focused on developing entrepreneurial behaviors, skills, and strategies for business success and sustainability.

Q11. Is this program only for Saudi nationals?

A11. While primarily targeting Saudi entrepreneurs, the program fosters global connections, enabling graduates to communicate and collaborate with peers locally and internationally.

Q12. How does this partnership benefit the economy?

A12. It diversifies income sources by supporting small businesses, enhances local development, and fosters innovation, contributing to a more resilient and knowledge-based economy.

Q13. What is the role of the Social Development Bank?

A13. The bank facilitates the program’s implementation, provides resources, and ensures alignment with national goals, acting as a bridge between local entrepreneurs and global expertise.

Q14. How many countries have Empretec programs?

A14. The Empretec program operates in over 40 countries worldwide, demonstrating its global reach and effectiveness in building entrepreneurial capacities across diverse contexts.

Q15. What are sustainable economic development goals?

A15. These goals include long-term growth that meets present needs without compromising future generations, achieved through innovation, skills development, and responsible business practices.

Q16. How does this support SMEs?

A16. SMEs gain access to specialized training and resources that improve their operational efficiency, market competitiveness, and ability to scale, which is vital for Saudi Arabia’s economic transformation.

Q17. Is there any cost to participants?

A17. The Empretec program, as part of the MoU, is designed to be accessible, with costs likely subsidized or covered by the Social Development Bank to ensure broad participation.

Q18. How does this enhance global connections?

A18. The program includes networking opportunities with entrepreneurs from other countries, fostering cross-border collaboration and knowledge exchange that strengthens Saudi Arabia’s global economic ties.

Q19. What impact has Empretec had globally?

A19. Globally, Empretec has helped thousands of entrepreneurs start and grow businesses, creating jobs and economic value in developing and emerging economies over several decades.

Q20. What are the next steps?

A20. The Social Development Bank and UNCTAD will jointly implement the program, launching training sessions and workshops in Saudi Arabia to begin capacity building for entrepreneurs in the coming months.

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