KUWAIT CITY, Oct 18: Minister of Commerce and Industry Khalifa Al-Ajeel says the National Fund for Small and Medium Enterprises Development continues to support entrepreneurs, who represent a fundamental pillar of national economic development, reports Al-Seyassah daily. In a press statement following his chairmanship of the National Fund’s Board of Directors meeting held recently, Minister Khalifa Al-Ajeel explained that the National Fund has been implementing comprehensive measures since March to recover debts and outstanding financial dues from several struggling projects, as part of its commitment to preserving public funds and strengthening financial and administrative discipline. These measures are being taken in line with the legal frameworks governing the fund’s operations, specifically Law No. 98/2013.
The National Fund has begun implementing a structured plan to collect and settle debts in an organized manner that ensures the protection of public rights without harming entrepreneurs. The collection procedures are aimed at promoting fairness and protecting public funds, while continuing to provide technical and financial support to serious projects with real economic viability. Al-Ajeel revealed that the meeting was held to follow up on the progress of relevant financial and administrative files, noting that these efforts are part of the government’s vision to create a fair and sustainable financial environment that enhances entrepreneurs’ confidence and supports their role in contributing to the national economy.
He also recalled that the fund’s Board of Directors had previously approved an amendment to the loan repayment mechanism for beneficiaries, extending the repayment period to 15 years. This excludes the grace period, which may reach up to three years as stipulated by law, as well as exceptional deferral periods, such as the four-year deferral granted during the COVID-19 pandemic. Al-Ajeel explained that the amendment was made in response to requests from small and medium-sized enterprise owners seeking greater flexibility in managing their financial obligations. The goal is to strike a balance between empowering entrepreneurs and preserving the Fund’s financial sustainability. In addition, sources close to the National Fund revealed that debt collection procedures, which are already underway, involve more than 60 distressed projects. They indicated that the Fund is considering adopting a new conciliatory approach with struggling entrepreneurs, and avoiding legal action as the initial step in dealing with them, adding that this approach is part of a plan to resolve accumulated debts, which exceed KD 10 million.
