Dubai – Sharikat Mubasher: The Arab Fund for Economic and Social Development, through its SME financing arm Badir Fund, has made a strategic investment in Shorooq’s Nahda Fund II, a Qualified Investor Fund regulated by the FSRA ADGM.

According to a recent press release, this move aims to improve access to credit for technology startups and growing SMEs, addressing a critical financing gap in the Arab world.

Badir Fund supports small businesses by providing both funding and technical assistance to help them scale, create jobs, and drive private sector-led growth. Shorooq, a leading alternative investment manager in MENA, specializes in structured debt financing for startups, with Nahda Fund II continuing its mission to offer flexible financing options tailored to SME needs.

This partnership arrives as many SMEs face barriers to securing traditional bank loans due to stringent criteria. By combining Badir’s economic development focus with Shorooq’s financing expertise, the collaboration seeks to unlock growth opportunities for underserved SMEs.

Nathan Kwon, Partner at Shorooq, highlighted the partnership’s importance in empowering SMEs, while Essam AlQuorashy of Badir emphasized its role in fostering financial inclusion. Success stories like fintech firm Abhi and self-storage company The Box showcase the impact of such tailored financing in the region.