Tunisia Startup Ecosystem 2025: The Rise of MENA’s New Innovation Powerhouse

Tunisia is rapidly carving out its place as one of the most promising innovation hubs in the Middle East and North Africa. During the Innovation Summit Tunisia 2025, held in Tunis at the Hotel Laico, industry leaders, policymakers, and global tech experts gathered to spotlight the country’s progress in the Tunisia startup ecosystem 2025. Organized by ICC Tunisia in partnership with Terna Innovation Zone, with support from Mind the Bridge and Elis, the event showcased Tunisia’s evolving role in North Africa’s tech economy.

A highlight of the summit was the release of the Tech Scaleup Tunisia 2025 Report, produced by Mind the Bridge in collaboration with Terna, ICC Tunisia, and Crunchbase. The report reveals that Tunisia is now the fifth-largest startup hub in MENA, with over 1,450 startups and 17 scaleups, placing it firmly in the “Early Standup Stage” of global innovation rankings.

Momentum in Tunisia Startup Ecosystem 2025 Scaleup Scene

Despite ranking among the top tech talent pools in MENA, the country is struggling to retain its engineers and foster a thriving startup ecosystem. A Clear World report shows that 60% of Tunisian tech engineers work for European firms. Or in other words, a brain drain fueled by restrictive financial regulations, difficulty holding foreign currency, and barriers to foreign equity ownership. These hurdles keep local startups from structuring internationally, limiting investor interest and growth potential.

Yet the potential is immense. With a strategic location bridging Africa, the Middle East, and Europe, and a legacy of innovation stretching back to Carthage, Tunisia could be the region’s next Silicon Valley.

One of Tunisia’s most notable success stories is Instadeep, an AI pioneer that raised over US$100 million before being acquired by BioNTech, one of Africa’s largest tech M&A deals to date. This kind of global recognition has fueled investor confidence, helping Tunisia’s total scaleup funding approach the US$200 million mark by 2024.

In 2022 alone, the country saw 13 scaleups raise US$171 million, proving that Tunisia’s startup environment can produce high-growth companies ready to compete internationally.

Investment Climate and Support Network

Tunisia’s venture capital landscape has strengthened, with a 56% increase in active investors compared to 2023. Public-private partnerships are also fueling growth. The ANAVA Fund of Funds aims to back 230 startups by 2027 with US$113.6 million, while programs like Innovatech bridge the gap between early-stage and scaleup funding.

The ecosystem benefits from 53 startup support organizations, active angel investors, and a growing co-working and accelerator scene. International backers, including the World Bank, are contributing to job creation and supporting women-led and youth-focused ventures.

Tunisia Startup Ecosystem 2025 and Ahead

Despite outperforming Morocco and Algeria in startup density, Tunisia still faces funding challenges, with scaleup investment at just 0.4% of GDP. Addressing this gap will be key to unlocking the country’s full innovation potential and competing with larger African tech hubs like South Africa, Egypt, and Nigeria.

With strong policies, abundant talent, and a growing investor base, the Tunisia startup ecosystem 2025 is on track to become a regional leader. It is one of the most exciting emerging markets for tech innovation in the years ahead.