Ashraf AboArafe
The Venture Investment Report in the Kingdom of Saudi Arabia (KSA) revealed that the Kingdom topped its counterparts in the Middle East and North Africa region as the highest in terms of the value of venture investment during the first half of 2023, which witnessed investments exceeding $446 million (1.67 billion riyals).
The report issued by MAGNiTT, a platform for venture investment in startups, sponsored by SVC, confirmed that the Kingdom acquired the largest share, amounting to 42% of the total venture investment in the Middle East and North Africa region in the first half of 2023, compared to 31% in 2022.
The first half of 2023 also achieved the record for huge deals (exceeding $100 million) in the Kingdom, which amounted to $289 million (1.08 billion riyals) through two deals.
The report indicated that the e-commerce sector in the Kingdom was the highest in terms of the value of venture investment and the number of deals in the first half of 2023, as the sector acquired 83% of the total venture investment at a value of $368 million (1.38 billion riyals) through 11 transactions.
Dr. Nabil bin Abdulqader Koshak, CEO and member of the Board of Directors of SVC, said: The Kingdom’s leadership in the bold investment scene in the region comes as a result of the launch of many government initiatives stimulating the system of bold investment and startups within the framework of the Kingdom’s Vision 2030, in addition to the emergence of increasing numbers of active investors from the sector. Private and innovative entrepreneurs.
He added: We at SVC are committed to continuing to lead the stimulation and development of the bold investment sector in the Kingdom by motivating investors from the private sector to provide support in turn for start-ups and small and medium enterprises to become capable of rapid and large growth, which leads to diversifying the national economy and achieving the goals of the Kingdom’s Vision 2030.
It is noteworthy that SVC is a government investment company established in 2018 and affiliated to the Small and Medium Enterprises Bank, one of the development banks affiliated to the National Development Fund.
The company aims to stimulate and sustain financing startups and small and medium-sized enterprises from the pre-establishment stage to before the initial public offering by investing in funds and investing in startups by investing 1.6 billion US dollars (6 billion riyals). The number of funds reached In which the company invested 43 investment funds, and the number of startups and small and medium-sized enterprises invested in reached 674 companies through 1,257 transactions.
