RIYADH: According to Wamda’s monthly report, investment in startups in the Middle East and North Africa increased by almost five times in February, totaling $494 million across 58 deals. The dramatic rise comes after debt funding, which made up 90% of investments in January. But in February, loan funding fell to 15%, with growth being driven by equity investments. Month-over-month funding increased 371 percent when debt was excluded.
Driven by significant announcements at LEAP 2025, Saudi startups raised $250.3 million across 25 deals, securing the greatest share. Egypt came in third place with $27.5 million from eight sales, followed by the United Arab Emirates with $203.5 million from 15 deals. Oman secured two transactions totaling $6 million, putting them back in the top four. In addition to Bahrain and Qatar, smaller investments were noted in Morocco, Tunisia, and Jordan.
A total of $1 million was invested in two ventures in Morocco and one in Jordan. Bahrain obtained $1.7 million in a single transaction, Qatar saw $2.7 million invested in two purchases, and Tunisia recorded $300,000 in two deals. Fintech secured $274 million in 15 deals, the most fundraising of any industry. Logistics raised $28.5 million through four agreements, while insurtech came in second with $55 million. Other noteworthy industries were contech, which raised $17.7 million, and martech and edtech, each of which raised $28 million. AI-focused startups raised $14 million, while cleantech startups raised $15 million.
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