IslamicFinance.de

Saudi Arabia's Kafala loan guarantee program proves to be a vital conduit between banks and smaller businesses, a report recently produced by the global publishing firm Oxford Business Group (OBG) revealed. The Report: "Saudi Arabia 2014" provides extensive coverage on the national drive to boost lending activity and facilitate growth in the Kingdom's small and medium-sized enterprises (SMEs). The report also looks in detail at the impact of e-banking and online services. Facing lengthy bureaucratic procedures and licensing is a big problem for SMEs. Another problem is accounting, as most SMEs are single proprietor companies, and the distinction between company and private assets is often hazy.