Investments from venture capital (VC) firms in Saudi Arabia’s startup sector reached record highs in 2021, according to a new report.
The Saudi Venture Capital Impact Report revealed that investment in the sector exceeded SR2 billion (US$548 million), compared to $63 million in 2018.
The number of investors in Saudi startups also rose significantly in the same period, up by 192% from 26 to 76.
The report, commissioned by state-funded Saudi Venture Capital also highlighted its own role in this increased activity which includes investment in 23 VC funds focused on Saudi companies.
According to Nabeel Koshak, CEO of SVC, Saudi Arabia is witnessing an “unprecedented growth” in the quality and quantity of deal flow for startups.
“This is a result of the emergence of many innovative entrepreneurs, VCs, and angel investor groups, in addition to the availability of an advanced regulatory and legislative environment backed by effective government programs,” he said.
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