The Development and Employment Fund was established in 1989 and began its lending operations in 1991 as a government institution with financial and administrative independence. It is concerned with the development and financing of small, medium, and micro enterprises through its revenues to maintain social and economic peace amid ongoing developments. The Development and Employment Fund Law No. (33) of 1992 and its amendments were issued.
The fund is managed by a Board of Directors headed by His Excellency the Minister of Labor, which includes the Director General of the Fund, the Secretaries-General of the ministries of Planning, International Cooperation, Finance, and Social Development, and four representatives from the economic, production, and service sectors. These representatives are nominated by the Council of Ministers based on the recommendation of the Chairman of the Council for a period of two years, which can be renewed for a similar period once.