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 Loan Process

SIDF offers this service to projects, through a set of different requirements, procedures, and stages, ranging from short to long term loans for various purposes.


Stages of the service:


1-      Registration


Borrower creates an account through SIDF online portal and submits a Preliminary Request for a loan application including:

    1. Sector details
    2. License details
    3. Company details
    4. Product details
    5. Ownership
    6. Net worth details
    7. Bank details (in case of foreign owners)
    8. Authorized person details

Once the Borrower submits a Preliminary Request through SIDF online portal, the application is automatically assigned through the online portal to a Relationship Manager (RM).

2-      Pre-Screening:

A Relationship Manager will review the preliminary request throughout the online portal.

  • The applicant will be automatically notified through the online portal on the approval or rejection of the Preliminary Request.
  • Once the Relationship Manager approved the Preliminary Request, the borrower will start filling the loan application form (list of SIDF requirements can be found appendix. 1)
  • A Relationship Manager will conduct a comprehensive review for the rest of the application form to ensure its completeness and accuracy. In addition, a Relationship Manager will conduct various meetings with the Borrower to get a better understanding of the project and request any clarification as needed.
  • If the application is complete, accurate and meets SIDF polices, the application will be registered by the Relationship Manager and proceeds to the Evaluation Stage.

Appendix 1 : A loan application is initially accepted if the following requirements are met:

  • Accurate and complete application form
  • Valid and Conforming Industrial License/Industrial Investment License (SAGIA)/ other license from relevant authorities.
  • Adequate Feasibility Study if needed.
  • Supporting documents for Technical Consultants, if required:
    • Machinery and equipment quotations/contracts and customs clearance (if M&E is already delivered)
    • Raw materials supply arrangements and utilities supply agreement
    • Building and civil works contracts/quotation, Engineering drawings and Bill of quantities
  • Valid commercial registration.
  • Articles of Association, company bylaws or partnership agreement duly notarized by a Notary Public (except for sole proprietorship).
  • Statements of personal net worth on the owners/partners.
  • Copies of owners' ID cards
  • Valid rental agreements from the Industrial City wherein the project is to be located or if the project is to be located on privately owned land, a valid copy of a building permit and permission to operate the project on the proposed site from the concerned authorities is necessary.
  • Title deed if the project is to be on private land.
  • Technical Agreement(s) (if any)
  • Licensing Agreement(s) (if any)
  • Insurance Policies (if any)
  • Corporate Resolutions
  • Powers of Attorney
  • Sales/Marketing Agreements (including export plans, if applicable).

The project representative can contact the assigned Relationship Manager while submitting the rest of the application for explanations and detail all requirements.

3-      Evaluation & Approval:

Following the registration, SIDF will analyze the project from Credit, Marketing and Technical perspectives, and based on the project viability, the Borrower will be automatically informed through the online portal on the final decision and RM will also inform the Borrower about the decision in writing.

4-      Contract & Signing:

Under this phase, the loan request is formally accepted, registered, and assigned a number, the Borrower will receive in writing the loan's terms and conditions in a commitment letter format. When the Borrower accepts and signs the commitment letter, the loan agreement and the follow-up fees agreement will be ready to be signed after sufficing all stipulated conditions precedent.


 To sign the loan agreement, the Borrower is required to submit:

1. A copy of the industrial license.

2. A copy of the commercial registration.

3. Copy of the Articles of Association.

4. A copy of relevant land lease agreement documents or original land title deed.

5. Authorization by the company's board of directors or power of attorney to their representative to sign the Loan Agreement, related agreements, and order notes.

6. A detailed list of the project fixed assets to be mortgaged.


Following the signing of the loan agreement, the mortgage will be registered under SIDF or provide required securities, or both, as arranged by SIDF.


5-      Disbursement Stage​​

Under this phase, A Portfolio Manager will explain to the Borrower the disbursement methods.


The loan will be disbursed after providing the following to the Portfolio Manager through the client portal:

  • Cost claims and proof of payments.
  • Satisfaction of applicable SIDF special conditions.
  • Valid insurance policy including SIDF clauses.


To expedite and facilitate disbursement, the Borrower should:

  • Open a separate and independent bank account for the project.
  • Maintain essential accounting records for the project.
  • Provide a proper filing system for all documents supporting and approving the disbursement.
  • Employ a qualified accountant for the project to prepare the required financial statements.
  • Avoid cash payment for any section of the project cost, Letter of Credit is the preferred payment method which can be facilitated through the Fund.


If the actual project cost is less than the budgeted cost, SIDF will reduce the loan proportionately, and an informative letter of this outcome will be attached to the Loan Agreement.


6-      Client Requests:

Varies requests will be submitted by the borrower to the Portfolio Manager through the client portal.


7-      Repayment and Follow-Up Stage:

The due loan payment will take place according to the schedule specified in the Loan Agreement, and the Borrower will commit to repaying the loan as per the signed agreement.


SIDF, represented by the responsible Portfolio Manager, will follow up on the progress of the project through regularly shared data of the project until the loan is fully repaid.