Saudi Arabia unveils $100m film fund in entertainment push

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Saudi Arabia’s expansion into cinema might have been unthinkable just a few years ago as citizens had to travel to Bahrain or the UAE to watch a movie in a theatre. It was only in 2018 that theatres started to open across the kingdom, relaunching the local market for films.

But the kingdom is taking its entertainment sector one step further as the Red Sea Fund, NEOM and the Cultural Development Fund are in a fresh push to grow the domestic movie industry and offer funding to attract filmmakers.

MEFIC Capital, a Saudi Arabian investment firm, is setting up a $100m (SAR375m) to invest in the country’s film industry, one of the latest bets on the region’s buoying film and media industry.

The Saudi Film Fund, a partnership between MEFIC Capital and Roaa Media Ventures, will collaborate with major international studios and “provide content that reflects Saudi culture and values.”

Under the deal, Roaa Media Ventures will serve as the technical partner while MEFIC Capital will manage the fund.

The fund seeks to spur investment in the movie production industry and provide financing for innovative content production and distribution projects infrastructure.

It is a major investment in the industry and part of the film sector financing program initiated by the Cultural Development Fund in 2023 under the Digital Content Program (IGNITE).

Saudi Arabia’s buoying film industry

The Saudi film production market has experienced significant growth, with an annual growth rate exceeding 25 per cent.

It is the largest consumer market for creative and cinematic content in the Arab world, driven by initiatives from the Ministry of Culture and the Quality of Life Program, part of the kingdom’s Vision 2030.

The revival of Saudi Arabia’s film industry is supported by the Public Investment Fund (PIF) and its $500bn flagship NEOM initiative.

NEOM has provided the backdrop for several films including Bollywood movie Dunki, Captain America, Desert Warrior, and most recently Within Sands – a Saudi film backed by the Saudi Film Commission, NEOM and Riyadh-based production company AlSarid Films.

Within Sands, which premiered in theatres across Saudi Arabia on February 15, marked a significant milestone in Saudi cinema, being the first to be shot in NEOM and featuring an all-Saudi cast.

The kingdom set up the Red Sea International Film Festival in 2019 and unveiled two funds at Cannes for production infrastructure and film industry investment in 2023.

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