The Saudi Fund for Development has signed a $15 million development loan agreement with the Republic of Palau, marking its first partnership in the Pacific nation and expanding its footprint among Small Island Developing States.
The agreement was formalized in Ngerulmud by Sultan Abdulrahman Al-Marshad, CEO of the Saudi Fund for Development, and President Surangel S. Whipps Jr.
The financing will be channeled through the National Development Bank of Palau and will support local developers, businesses, and entrepreneurs. The initiative aims to catalyze high-impact projects aligned with national priorities, focusing on strengthening economic resilience, supporting job creation, and advancing sustainable development.
A key component of the funding will prioritize affordable and climate-resilient housing, helping strengthen communities and create long-term economic stability. The agreement also reflects the Saudi Fund for Development’s broader strategy of supporting island economies, having financed projects across 18 island nations in the Caribbean and Pacific regions.
Since its establishment in 1974, the Saudi Fund for Development has financed more than 800 projects in over 100 countries, with total commitments exceeding $22 billion. Its investments span sectors including transportation, social infrastructure, agriculture, energy, industry, and mining, contributing to improved living standards and economic growth in developing countries.
KEY QUOTES:
“This agreement is about building a stronger Palauan economy by channeling this financing through our National Development Bank so that Palauan developers, businesses, and entrepreneurs can lead new projects that create jobs, unlock investment, and keep more value here at home. At the same time, by prioritizing affordable, climate-resilient housing, we are strengthening our communities, giving our young people more reasons to build their future in Palau, and laying a more resilient economic foundation for generations to come.”
Surangel S. Whipps Jr., President, Republic of Palau
“We are proud to launch our first collaboration with the Republic of Palau. By expanding access to vital funding, we aim to uplift local entrepreneurs and help secure a resilient future for the Palauan people. This agreement embodies our broader mission to foster prosperity across island nations.”
Sultan Abdulrahman Al-Marshad, Chief Executive Officer, Saudi Fund for Development
