SVC: Saudi Arabia Accounted for 42% of MENA VC Funding in H1 2023
Riyadh, Saudi Arabia – In the first half of 2023, Saudi Arabia emerged as the frontrunner in the MENA region, securing the highest share of venture capital funding. The Kingdom witnessed a remarkable total VC deployment of $446M (SAR 1.67 billion).
The Kingdom captured the highest share of total funding in the MENA region in the first half of 2023, with VC funding in Saudi Arabia accounted for 42% of the total capital deployed in the region during H1 2023, increasing from 31% in 2022. The first half of 2023 also achieved a new record for the Kingdom’s mega-rounds (more than $100M) funding, which stood at $289M (SAR 1.08 billion) across 2 deals.
E-Commerce/Retail took the lead as the highest-funded sector in the Kingdom during H1 2023, attracting a substantial amount of funding, totaling $368M (SAR 1.38 billion) across 11 deals.
Regarding this achievement, Dr. Nabeel Koshak, CEO, and Board Member at SVC, commented that it reflects the robust growth of the Saudi Arabian startup ecosystem, backed by various governmental initiatives launched to stimulate venture capital and support startups under the Saudi Vision 2030 programs. The private sector has also played a significant role, with active investors and innovative entrepreneurs driving the momentum.
Koshak further highlighted SVC's commitment to lead the development of the VC ecosystem in Saudi Arabia. Through stimulating private investors to support startups and SMEs, they aim to fuel fast and high growth, diversify the national economy, and achieve the goals of the Saudi Vision 2030.
SVC, established in 2018, is a government investment company and a subsidiary of the SME Bank, affiliated with the National Development Fund. SVC aims to stimulate and sustain financing for startups and SMEs from pre-Seed to pre-IPO by investing $1.6 billion through funds and co-investment in startups. SVC has invested in 43 funds that support 674 companies through 1,257 deals.