First Development Partnership in Palau
The Saudi Fund for Development (SFD) has entered into a historic agreement with the Republic of Palau to inject USD 15 million into local economic projects. This significant event occurred on April 6, 2023, in Ngerulmud, the capital of Palau, marking SFD’s first development partnership in the Pacific island nation.
H.E. Sultan Abdulrahman Al-Marshad, CEO of SFD, and H.E. Surangel S. Whipps Jr., President of Palau, signed the agreement. Al-Marshad expressed pride in launching the first collaboration with Palau. He stated, “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.”
President Whipps emphasised the agreement’s importance for the local economy, stating, “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.”
The USD 15 million development loan will be channeled through the National Development Bank of Palau. It aims to empower local developers, businesses, and entrepreneurs by aligning with Palau’s national priorities. This funding is expected to catalyse high-impact initiatives and foster sustainable grassroots economic growth.
Saudi Fund for Development’s partnership with Palau reflects its commitment to Small Island Developing States (SIDS). The Fund has previously supported development projects across 18 island nations in the Caribbean and Pacific regions. Through its financing, SFD contributes to strengthening economic resilience, expanding access to essential services, and enabling sustainable development in these regions.
Since its establishment in 1974, SFD has financed more than 800 projects and programmes in over 100 countries. Its efforts have significantly contributed to sustainable social and economic growth worldwide. The strategic partnership with Palau underscores SFD’s ongoing dedication to fostering prosperity across island nations.
The financing provided by SFD will enable local stakeholders to initiate projects that create jobs and promote investment in Palau. As a result, this will enhance the local economy and reinforce the foundation for future generations.
High-impact initiatives are expected to be catalysed in Palau, focusing on affordable, climate-resilient housing and community strengthening efforts. This aligns with the broader mission of SFD to foster prosperity across island nations.
Last updated: 7 April 2026, 8:19 am
