Saudi Arabia launches Kingdom’s first dedicated fashion investment fund
A landmark fund aims to transform Saudi Arabia’s fashion industry and cultural economy
Saudi Arabia is making a significant stride in its cultural and economic transformation with the launch of the Kingdom’s first dedicated investment fund for the fashion sector. Valued at SAR 300 million, the fund is a partnership between the Cultural Development Fund (CDF) and Merak Capital, unveiled during the inaugural Cultural Investment Conference in Riyadh.
The fund’s mission is straightforward: to accelerate growth and investment in the Saudi fashion industry by supporting companies, brands and innovative projects across the sector. Crucially, it also targets the development of supply chains and related services — signalling a commitment to building a robust infrastructure that can sustain a vibrant fashion ecosystem.
This initiative fits squarely within Saudi Vision 2030, which aims to diversify the Kingdom’s economy beyond oil, with culture and creative industries playing an increasingly central role. Fashion here is more than just commerce; it is emerging as a vital form of cultural expression and economic opportunity.
The Cultural Investment Conference, the world’s first event dedicated to culture as a driver of economic growth, provided the backdrop for this announcement. It highlighted how the Saudi government is positioning culture — not as an afterthought — but as a core pillar of national identity and economic diversification.
By backing the fashion sector with this fund, Saudi Arabia is signalling its ambition to cultivate local talent, nurture homegrown brands and compete on a global stage. It is a clear recognition that fashion, at its best, combines creativity, heritage and commerce in a way that can generate both cultural pride and economic value.
The fund also marks a broader shift in how cultural industries are financed in the Kingdom: moving away from traditional patronage towards innovative investment models designed to create sustainable growth.
As Saudi Arabia builds out its creative economy, this fund will be one to watch — offering a blueprint for how emerging markets can invest in culture not just as a social good, but as a serious economic sector.
Elena Leo is the Arts & Lifestyle Editor of Ikon London Magazine.