Riyadh, Saudi Arabia – Saudi Arabia’s venture capital landscape reached unprecedented heights in the first half of 2025, with a total VC investment of $860 million (SAR 3.2 billion) — a 116% increase compared to H1 2024, according to the newly released “H1 2025 Saudi Arabia Venture Capital Report” by MAGNiTT, in collaboration with Saudi Venture Capital (SVC).
This surge has not only surpassed the Kingdom’s total VC funding for the entire year of 2024, but it also reaffirmed Saudi Arabia’s position as the leading VC market in the MENA region, capturing 56% of all capital deployed across the region. The data underscores the Kingdom’s growing reputation as a hub for innovation, startup investments, and economic diversification.
The report also reveals that Saudi Arabia closed a record 114 venture capital deals in H1 2025 — a 31% increase year-over-year — contributing to 37% of all deals in the MENA region. This marks the highest share ever achieved by the Kingdom in regional deal count.
E-Commerce and Fintech Sectors Dominate Investment Landscape
Among industry verticals, e-commerce emerged as the top-funded sector, attracting $306 million (SAR 1.1 billion) — accounting for 36% of total VC capital deployed in the country. Meanwhile, fintech led in deal volume, with 30 transactions, representing 26% of Saudi Arabia’s total deals during the period.
These statistics highlight Saudi Arabia’s strategic investment focus and the growth potential of its digital economy. As the nation continues to foster innovation-driven enterprises, sectors like fintech and e-commerce are becoming central pillars of its economic transformation.
Vision 2030 as the Catalyst
Saudi Arabia’s impressive performance in venture capital is closely aligned with Vision 2030, the nation’s long-term roadmap to diversify its economy and empower entrepreneurship.
“The steady growth of the Saudi VC ecosystem in recent years has enabled it to maintain its leading position in the MENA region and achieve a record VC funding and deal count in the first half of 2025. This growth directly results from the country’s commitment to realizing the Saudi Vision 2030, which emphasizes fostering entrepreneurship and stimulating investment in startups from early to later stages,” said Dr. Nabeel Koshak, CEO and Board Member at SVC.