Business

Saudi Arabia Leads MENA in VC Investments in 2024

Saudi Arabia continued to lead the Middle East and North Africa (MENA) region in terms of the value of venture capital investment, for the second year in a row, as it acquired 40% of the total venture capital (VC) investment worth $750 million in 2024, followed by the UAE with $613 million last year.

However, the UAE topped with 188 deals valued around $637 million and Egypt was ranked third with 78 deals valued $329 million.

According to venture data platform MAGNiTT, a comprehensive platform that offers advanced, tailored solutions to Dubai International Finance Centre (DIFC), Saudi Arabia has been ranked first among all sectors with about $247 million, as the sector contributed 33% of the total value of venture capital investment, driven by the $130 million basket deal. The fintech sector came in second place with about $182 million.

VC deals reached 178 deals, up 16% y-o-y, driven by increased early-stage activity. Saudi Arabia witnessed a strong and continuous participation of investors during the year, with 135 investors supporting Saudi start-ups, an increase of 6% over 2023.

Saudi Arabia’s top five sectors in terms of VC value in 2024 are e-commerce/retail ($247 million), fintech ($182 million), transport and logistics ($64 million), IT solutions ($54 million) and enterprise software ($34 million).

SVC Investments

The total investments of the Saudi Venture Capital Company (SVC) since its establishment in 2018, amounted to $1 billion, while the number of funds in which it invested amounted to 54, and the in the investments in start-ups and small and medium enterprises (SMEs) were more than 800 companies.

A recent report by SVC showed that the total investments across all sectors amounted to $1 billion, while the total impact of committed investments, including partners’ commitments, was estimated at around $4.83 billion.

The start-ups and SMEs covering several sectors such as e-commerce, fintech, healthcare, education technology, transportation and logistics services, reflected the development of Kingdom’s various economic and financial sectors.

The report also said that the merger and acquisition (M&A) deals in Saudi Arabia totalled seven in 2024, equal to the deals recorded in the previous two years.

Global Business Magazine

Recent Posts

Baghdad’s State Banks Face Lending Slowdown as Iraq Pushes for a More Active Financial Sector

Iraq's banking sector is facing renewed pressure to strengthen lending activity after most state-owned banks…

2 weeks ago

Kuwait City’s E-Commerce Market Moves Into Its Next Phase as Digital Retail Enters a More Mature Cycle

Kuwait's e-commerce market is moving beyond its initial adoption phase, with stronger digital infrastructure, evolving…

2 weeks ago

Amman Banking Sector Gains Momentum as Jordan Kuwait Bank Posts Strong First-Half Growth

Jordan's banking sector is showing continued resilience as Jordan Kuwait Bank (JKB) reported net profit…

3 weeks ago

Bahrain’s Cybersecurity Sector Reaches Global Stage as Beyon Cyber Takes Bahraini Expertise to Black Hat USA

Bahrain's cybersecurity industry is gaining international visibility as Beyon Cyber becomes the first Bahraini cybersecurity…

3 weeks ago

Muscat’s Digital Payments Push Gains Momentum as Thawani Pay and Network International Deepen Fintech Collaboration

Oman's fintech ecosystem is moving into a more collaborative phase as payment technology providers and…

3 weeks ago

Cairo Accelerates Its AI Ambitions as Egypt Expands Research, Education and Digital Innovation

Egypt is stepping up its artificial intelligence ambitions as Cairo becomes an increasingly important centre…

3 weeks ago