In line with the Kingdom of Saudi Arabia's policy of supporting the development efforts in the developing countries, and in performing its mission of providing soft loans to these countries, the Saudi Fund for Development (SFD) extended more than SR. 1108 million to finance 17 projects during the fiscal year 2007. This brings the SFD's cumulative development contributions during the period 1975-2007 to about, SR. 27.73 billion, benefiting 71 developing countries.

     The contributions included the financing of 417 development projects and economic programs in a number of major sectors of the recipient countries. Such contributions were intended to coincide to the priorities and requirements of the development plans and programs in the beneficiary countries, with a particular focus on the projects targeting poverty alleviation.

     Additionally, the SFD's contributions were effective to encourage other financiers and the recipient countries to co-finance and execute these projects, were the total costs exceeds SR. 198 billion.  There is no doubt that the co-financing helps to implement major and costly infrastructural projects needed by the recipient countries.

     The efforts of the Government of Saudi Arabia have not been limited to the Kingdom's assistance channeled directly through the SFD to support development activities in the developing countries, but the Kingdom also utilized its significant contributions to the regional and international development institutions in order to support the global initiatives which aim to help overcome the development challenges faced by the developing countries.

     To further deepen the Kingdom's cooperation with the beneficiary countries and promote the Saudi non-oil export, the SFD signed, through its Export Program (SEP), 13 national product export agreements valued at a total of SR. 1032 million during the fiscal year 2007. This brings the total value of the agreements signed by SEP since its inception in 2001 until the end of 2007 to about SR. 3.43 billion. The Program also issued 8 export-credit insurance and guarantee policies totaling SR. 282 million during the year of the report. This brings the export-credit insurance and guarantee policies issued since the launch of the Program to 45 policies, covering actual exports of national products exceeding in value SR. 1.76 billion.

     Taking into account what has already been accomplished over the past years, the SFD looks to the future with determination in continuing the task entrusted to it in accordance with the directives of the Government of the Custodian of the Two Holy Mosques and The Crown Prince.

Dr. Ibrahim A. AL-Assaf

Minister of Finance
Chairman of the Board of Directors