Venture Capital in Kingdom Grows by 72% in 2022 with Record Total of around USD1 Billion
Riyadh, January 12, 2023 -- The venture capital report in the Kingdom of Saudi Arabia revealed that 2022 saw a record investment of SAR 3.701 billion ($987 million) in Saudi startups, recording a growth of 72% compared to 2021.
The report, issued yesterday by MAGNiTT, which is a platform specialized in venture capital data in startups, supported by Saudi Venture Capital Company (SVC), confirmed that although 2021 was a record year for venture capital in the Kingdom, 2022 saw unprecedented growth, where the value of venture capital in the Kingdom registered a new record.
The Kingdom of Saudi Arabia achieved the highest growth rate of venture capital in 2022 compared to other countries in the Middle East and North Africa. The Kingdom was able to maintain its position as the second largest market in terms of venture capital among countries in the region in 2022, accounting for 31% of total investments in the region, compared to 21% in 2021.
The Kingdom of Saudi Arabia also registered a new record of 104 investors in 2022, where the number of investors went up by 30% compared to 2021, while the Kingdom recorded double the number of exit deals for startups in 2022 compared to 2021 with a total of 10 exit deals.
CEO and board member of SVC Dr. Nabeel Koshak said: the Kingdom of Saudi Arabia’s achievement of an unprecedented growth in venture capital is the result of launching several government initiatives that stimulate venture capital and startups as part of Saudi Vision 2030, in addition to the emergence of increasing numbers of influential investors from the private sectors and innovative entrepreneurs.
He added: We, at SVC, are committed to continuing to stimulate investors in the private sector to provide support to startups and small and medium sized enterprises to become able to quickly grow, which will lead to diversifying the national economy and realizing the targets of the Saudi Vision 2030.