Venture Capital Dominance in Saudi Arabia

Since the beginning of 2018, the total Venture Capital investment in Saudi Arabia reached approximately $2.4 billion, representing 25% of the investments in the Middle East and North Africa MENA region.

🔸️ Saudi Superiority:
Over nine months in 2023, Saudi venture capital investment reached $536 million, surpassing the UAE after leading for five consecutive years.

🔹️ Notable Progress:
Saudi Arabia managed to narrow the gap from 856% to 21%, securing the top spot as the most attractive country for venture capital in 2023.

🔸️ Major Deals:
Although the UAE had the majority in terms of the number of deals, Saudi Arabia dominated most of the major deals in the region.

🔹️ E-commerce Sector:
This sector captured the largest share of venture capital in Saudi Arabia with a total of $368 million, an increase of 245% from the previous year.

🔸️ Number of Investors:
During the nine months of 2023, the number of investors in Saudi Arabia reached 131, of which 102 were local investors and 29 were international.

🔹️ Startups:
Startups in the pre-IPO stage (Seed and Series A) captured the largest share of venture capital in Saudi Arabia, totaling $357 million, a 27% increase from the previous year.

🔸️ Significant Fundings:
Saudi Arabia witnessed major fundings in the first half of 2023, including investments in companies like “Tawkel”, “Eva”, and “Middle East Internet”.

🔹️ Influential Factors:
Economic reforms, economic growth, and an improved business environment contributed to the dominance of venture capital in Saudi Arabia.

🔸️ Future Expectations:
With continued support and development, venture capital in Saudi Arabia is expected to grow in the coming years, with investments expanding into new sectors.