This joint investment fund aims to support startups in both Saudi Arabia and South Korea.
The governments of Saudi Arabia and South Korea have announced the creation of a joint fund of USD 160 million, which will be used to invest in startups in both countries.
This joint fund falls under the memorandum of understanding for investment cooperation and startup support between the two countries that was signed in November 2022 during the Crown Prince bin Salman’s visit to South Korea.
Initially established with a USD 10 million investment added to an existing fund of USD 150 million in which Saudi Arabia was a major contributor, an additional fund of USD 160 million was later raised with efforts from Saudi Venture Investment (SVC) and the Saudi National Wealth Fund.
As per the agreement, both countries have pledged to make compulsory investments of no less than USD 10 million in South Korean firms through the joint fund, attracting further investment to the startups and expanding their operations into Saudi Arabia, fulfilling an initiative of making South Korea a major player in the Saudi business scene.
The objective of the joint fund is to enhance the social and economic ties between the two nations, fostering greater business cooperation and creating fresh opportunities for startups and entrepreneurs from both countries.
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