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Agricultural Development Fund
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Introduction
The Saudi Arabian Agricultural Bank (SAAB) was established as per Royal Decree No.(58), dated 3-12-1382H. as a public credit institution, specializing in providing finance for various agricultural activities in all regions of the Kingdom. Its mission is to assist in the development of the agricultural sector and the enhancement of its production efficiency by introducing up-to-date, state of the art, scientific and technical methods through providing soft interest-free loans to farmers to enable them to secure such industry prerequisites as machinery, irrigation pumps, agricultural equipment, livestock and poultry keeping and fish farming equipment …etc. SAAB's capital totaled SR.10,838.6 million.
SAAB's Objectives
SAAB provides loans and credit facilities needed to help in the development, promotion and activation of the agricultural sector, including the following:
- Cultivating, storing and marketing agricultural produce and forest products as well as promoting livestock raising, poultry breeding, and fish farming.
- Reclaiming land.
- Providing water supply facilities required for the above mentioned purposes.
SAAB's loans are concentrated on the following two types: Ordinary Farming Loans
These loans are extended to finance the cultivation of field produce of all sorts, the operation of fruit farms, honey bee keeping projects, fishing boats, and the purchase of agricultural machinery and equipment. These loans are of two types:
Short-term Loans
These loans are provided for the following purposes:
- Plowing charges (for those who have not borrowed for a plower).
- Seed costs.
- Fertilizer costs.
- Floods-or rainfall-dependent lands. However, these loans are only provided to cover seeds costs and the charges for plowing land for prospective cultivation, provided that a sufficient supply of water is available for produce cultivation and growth until harvesting time comes due.
- Fishing boat requisites, such as langoustes and fishing nets.
- Fuel.
- Insecticidals.
- Apiculture projects (pollen seeds- Sugar- base wax)
Short-term loans are to be given one year allowance period then to be repaid after two years from contract signing.
Medium-term Loans
These loans are provided for the financing or purchase of:
- artesian well drilling expenses, including case-piping, ordinary well drilling, and stone casing.
- agricultural machines, pumps and irrigation systems.
- farming machinery, including plowers and accessories, seeders, fertilizer sprayers, harvesters, winnowing forks, tractors, milking machines and pesticide sprayers.
- Agricultural installations, including irrigation piping, grain silos, water collection pools, labor accommodations, machines and equipment sunshades, mountainous terrain gradient leveling, un-air conditioned green houses to protect plants from weather changes, fuel storage tanks, and grape-vine espaliers.
- Fruit seedlings, palm seedlings, and windbreak.
- Fishing boats and equipment.
- Honey bee hives and keeping equipment.
Medium-term loans are to be given one year allowance period , then the first installment is due after two years from contract signing .
Specialized Agricultural Projects
These are commercial projects in which large-scale economic resources are invested in order to build organized, well-established, and economically feasible production projects such as:
- Layer poultry farms
- Fattening poultry farms
- Fattening and layer mother poultry farms
- Dairy production and processing farms
- Agricultural projects using air-conditioned green houses
- Sheep breeding and fattening projects
- Fish and shrimp husbandry projects
- Auto slaughter houses
- Poultry nursries
- Olives oil projects
- Cooling wharehouses
- Farm machinery factories
- Agricultural food processing factories
- Farm machinery maintenance work shops
- Specialist Agricultural marketing
Branches
Head Office: Riyadh
- Riyadh Region Branch :
- Riyadh
- Al-Zulfi
- Al-Majma'ah
- Dwadmi
- Al-Quwaieyah
- Shaqra
- Nefi
- Sajer .
- Jeddah Governorate Branch :
- Qassim Region Branch :
- Buraidah
- Unaiza
- Russ
- Al-Bukairiyah
- Al-Mithnab
- Al-Fawwarah
- Uyoun Al-Jawa .
- Assir Region Branch :
- Abha
- Beeshah
- Balgarn
- Al-Namas
- Rijal Alma
- Dhahran Al-Janoub
- Ballasmar
- Al-Areen.
- Eastern Province Branch :
- Al-Hassa
- Al-Qateef
- Hafr Al-Batin
- Garyat Al-alya .
- Madinah Region Branch :
- Madinah
- Yanbu
- Al-Ula
- Al-Hinakiyah
- Al-Mahd.
- Hail Region Branch :
- Hail
- Alhlafah
- Baqa'a
- Al-Shamli.
- Al-Kharj Governorate Branch :
- Al-Kharj
- Wadi Al-Dawasser
- Al-Hautah
- Al-Aflaj
- Al-Dilm
- Al-sulyal .
- Taif region Branch :
- Taif
- Trubah
- Raniah
- Al-Khurmah .
- Al-hudood al-shamaliyah Branch .
Agricultural Development Fund