Saudi Arabia startup funding surges with strong regional leadership as the Kingdom leads the MENA region in capital raised during the first half. With $1.34 billion secured, Saudi Arabia captured 64 percent of total regional startup funding. This figure shows a 342 percent rise compared to the same period last year.
Much of this growth comes from sovereign backing, supportive government incentives, and a vibrant venture capital environment. Notably, fintech dominated the Kingdom’s startup scene, raising $969 million across 20 deals. Construction tech and property tech followed, raising $48 million and $39 million respectively.
Saudi Arabia startup funding surges with strong regional leadership as local and global investors join major rounds. Leading firms such as STV, Raed Ventures, and Wa’ed Ventures remained highly active. International firms like JPMorgan also joined, backing Saudi fintech Lendo through debt financing.
Regionally, MENA startups raised $2.1 billion through 334 deals, marking a 134 percent increase year-on-year. Debt financing played a major role, accounting for $930 million or 44 percent of the total. Even without debt, equity funding rose 53 percent, signaling stronger investor confidence across early and mid-stage deals.
The UAE followed closely behind, securing $541 million through 114 deals. Fintech again led the charge, supported by strong performances in insurance tech, Web3, and AI. Meanwhile, Egypt raised $179 million across 52 deals despite continued economic challenges. Fintech and property tech drove most of that funding.
Mid-stage investments dominated by value, while early-stage startups still accounted for most deals. Later-stage companies secured $431.7 million, while early-stage startups drew $568 million. Fintech captured 62 percent of all capital, reinforcing its place as the region’s top-funded sector.
Saudi Arabia startup funding surges with strong regional leadership by attracting consistent deal flow and investor attention. New businesses continue to emerge in sectors like real estate, education, and AI. Additionally, female-led and mixed-gender teams saw funding, though male-led startups still received most of the capital.
In Oman, startups like ZabonEx and SafaQat secured new investments to grow tech solutions in food supply and procurement. UAE-based Qlub raised $30 million to expand its digital dining tools globally. Journify also doubled its valuation with new investment for AI-based marketing.
As activity rises, business-to-business models led funding volume with $1.5 billion across 197 transactions. These startups show strong market traction and solid growth paths. With Saudi Arabia at the center, the region’s startup ecosystem continues its rapid evolution.
