Emirates Development Bank announces launch of EGF
Abu Dhabi: The Emirates Growth Fund (EGF), a game-changing AED 1 billion growth equity platform created to boost the size, resilience, and worldwide competitiveness of UAE-based SMEs, was introduced today by Emirates Development Bank (EDB).
EGF, which was formally introduced during the fourth edition of the Make it in the Emirates Forum, provides high-potential companies in the key industries of advanced technology, manufacturing, food security, and healthcare with patient capital and strong strategic partnerships.
In order to achieve the objectives of Operation 300bn, the national policy to increase the industrial sector’s GDP contribution to AED 300 billion by 2031, the fund is essential to propelling the UAE’s industrial transformation.
Small and medium-sized businesses (SMEs) with significant development potential and yearly sales beginning at AED 10 million are the focus of the Emirates development Fund. Each firm that the Fund invests in receives between AED 10 million and AED 50 million. Targeting businesses that have surpassed early-stage finance but still need flexible, long-term investment to reach their full potential, EGF redefines growth capital for SMEs in the United Arab Emirates.
EGF gives founders the ability to expand sustainably, improve governance, and create national champions who will influence the UAE’s economic destiny by fusing active value creation with minority ownership interests. Najla Ahmed Al Midfa is the Managing Director and Vice Chair of the Fund, which is led by UAE Minister of Sports Ahmad Belhoul Al Falasi. Ms. Mariam Saeed Ghobash, Mr. Hassan AlSayegh, Mr. Stephen Welton, Mr. Mohammed Huraimel Al Shamsi, and Khalfan Juma Belhoul are also members of the EGF Board.
“In keeping with the vision and directives of the UAE’s leadership to enable a transformative leap in our national industrial sector, increase its contribution to GDP, and strengthen the UAE’s position as a competitive and reliable destination for industrial and technological investment, Emirates Development Bank remains committed to advancing a future built on resilience and self-sufficiency,” said Dr. Sultan Al Jaber, Minister of Industry and Advanced Technology and Chairman of Emirates Development Bank, in a statement regarding the launch.
He continued by saying, “The establishment of the Emirates Growth Fund is a daring, forward-thinking move that gives growth-stage businesses in the United Arab Emirates the money, know-how, and tactical assistance they need to expand and take the lead in the industrial sector. It boosts industrial competitiveness, helps the development of important industries, and fortifies national self-sufficiency and supply chain resilience. We have no doubt that this Fund will be a real catalyst for forward-thinking businesses, acting as a calculated investment in the UAE’s sustained development and prosperity and solidifying its position as a world leader in industrial innovation.”
Dr. Ahmad Belhoul Al Falasi, the UAE Minister of Sports and Chairman of the Emirates Growth Fund, remarked, highlighting the strategic objective of EGF:
“The crucial crucial’missing middle’ in SME finance is what EGF is intended to fill. These are businesses that are too significant to overlook yet too sophisticated for venture capital and too entrepreneurial for conventional private equity. Our objective is to collaborate with scalable companies that expand industrial capacity, generate employment, and provide long-term economic benefits. We are laying the groundwork for the UAE’s next economic age with patient funding and proactive assistance.”
“At EGF, our capital is patient, but our ambitions are not,” said Vice Chair and Managing Director Najla Ahmed Al Midfa, who reflected on the organization’s dedication to founder-led development and national impact. We are here to support entrepreneurs in the UAE who are creating robust, forward-thinking companies. We are fostering the next generation of UAE economic champions via EGF, not only paying checks”.
EGF invests between AED 10 and 50 million per firm and targets SMEs with great development potential based in the United Arab Emirates. These companies generally have a revenue of AED 10 million or more annually. By focusing on active minority investments, the fund makes sure that founders maintain operational control while receiving strategic assistance in areas like institutionalization, growth strategy, governance, and operational efficiency.
EGF is expected to strengthen the country’s industrial base, improve local supply chains, and encourage the development of high-skilled jobs by concentrating on key sectors that are in line with the UAE’s strategic objectives. These are all essential components of long-term economic resilience.
EGF announced its first healthcare investment via a collaboration with Tarmeem Healthcare Holding LTD, signaling early momentum and the beginning of a portfolio designed to provide quantifiable effect and national value.