Saudi Arabia leads MENA’s VC growth in 2025

The flag of the Kingdom of Saudi Arabia is illustrated. The Kingdom reported the highest VC growth across MENA In 2025.

Saudi Arabia recorded the strongest growth in venture capital (VC) investment in the Middle East and North Africa (MENA) region in 2025, with funding rising 145% year on year to $1.72 billion, the highest level since 2018, according to available data.

Data from MAGNiTT, which tracks startup activity across MENA, showed that Saudi Arabia became the region’s most active market by deal count for the first time, with about 257 transactions, up 45% from the previous year.

The Kingdom also maintained its lead in venture capital value across MENA for a third consecutive year, accounting for more than 50% of total VC investment in 2025.

Overall, venture capital investment across the MENA region reached around $3.43 billion, spread across approximately 581 deals, with about 433 investors active during the year.

Singapore ranked first globally in terms of venture capital investment, with funding totaling $3.09 billion, followed by Saudi Arabia, and then the UAE with $1.58 billion.

The fintech sector remained the largest recipient of venture capital in 2025, attracting $3.5 billion in funding. E-commerce and retail came second with more than $1 billion, supported by large deals such as Saudi-based Ninja’s $254 million round.

Enterprise software ranked third, with investments totaling $758 million.