Amwal Capital Partners, a leading independent asset manager based in the Gulf, has announced the successful launch and first close of a $150 million Shariah-compliant private credit fund. The fund, named the ACP Shariah Financing Fund, is designed to meet growing investor demand for ethical financing solutions and to bridge the widening credit gap for small and medium-sized enterprises (SMEs) in the GCC region.
The new fund will focus on asset-backed lending to emerging companies, particularly those operating tech-enabled platforms. It also plans to engage in direct lending opportunities, targeting 12 to 15 transactions over a five-year term, with a primary focus on Saudi Arabia and the United Arab Emirates.
“Our fund is purpose-built to address the mismatch between capital supply and real economic need, especially for SMEs,” said Fadi Arbid, Co-Founder and Chief Investment Officer of Amwal Capital Partners. “We’re offering flexible, Shariah-compliant financing where traditional banks often fall short.”
Sharif Eid, Partner and Co-Head of Fixed Income at Amwal, highlighted that private credit in the region offers attractive, equity-like returns from low-risk, well-structured exposures. “Corporate leverage in the GCC is low, making the lending environment highly favorable,” he added.
SMEs remain underfinanced in the region, with loans to this sector accounting for less than 10% of total lending—significantly lower than the 20% benchmark in developed economies. The SME credit gap in the GCC is estimated at $250 billion.
The ACP Shariah Financing Fund has already exceeded its initial fundraising target, attracting major institutional investors, including sovereign wealth funds, international financial institutions, and family offices. It is launching with two warehoused deals in the tourism and agri-food trade sectors, with several more in the pipeline across industries such as logistics, vehicle leasing, and fintech.
This launch builds on Amwal’s momentum following the success of its Shariah Hybrid Income Fund, introduced in December. The hybrid fund combines exposure to the public sukuk market with the return potential of private credit—catering to Islamic investors seeking liquidity and yield.
Amwal Capital Partners operates from Dubai and Riyadh and is regulated by the DFSA and CMA, respectively. With deep regional expertise and a growing investment platform, the firm is well-positioned to serve the evolving needs of the MENA financial ecosystem.
