Green light for BD100m fund

The Cabinet chaired by His Royal Highness Prince Salman bin Hamad Al Khalifa yesterday approved the launch of a Liquidity Support Fund worth BD 100 million. The move follows the directives given by the Crown Prince, Deputy Supreme Commander and First Deputy Prime Minister during the 2019 government forum.

Cabinet Secretary-General, Dr Yasser bin Issa Al-Nasser, announced the decision in a post-Cabinet press briefing yesterday. The fund, Cabinet explained, launched in coordination with Bahrain Chamber of Commerce and Industry (BCCI) and national banks, aims at developing a funding ecosystem for the high growth sector in the Kingdom. Backing will be given to companies facing genuine shortterm liquidity pressures for growth.

The Cabinet also acknowledged the strength of the Kingdom’s private-public partnership in facilitating the swift establishment of the Liquidity Support Fund. Four agreements with national banks were also given approval by the Cabinet to arrange credit facilities. Instructions were given to the Ministry of Finance and National Economy to initiate the launch of the Fund.

The new fund will be in addition to an already announced $100 million fund of funds by Bahrain Development Bank, which will invest across various sectors in the Kingdom. Apart from these, several venture capital funds are also there currently supporting the funding needs.

Fee reduced

Moving on, the Cabinet approved a recommendation to reduce infrastructure cost recovery fees in the construction sector to BD 10 from BD12 per square metre as recommended by the Government Executive Committee, chaired by HRH the Crown Prince.

The reduction will be applicable only if the amount is paid in full at the time of permit issuance, or by agreeing to pay in three instalments through the building permits system “Benayat” while providing financing facilitation through commercial banks.

The proposal also calls for introducing the three payment options on Benayat’s website in cooperation with the Information and eGovernment Authority.

BD 200 monthly benefits

The Cabinet approved a proposal to increase the monthly benefits of differently-abled people to BD200.