2020 Egypt Venture Investment Report
May 2021

This report, in collaboration with the IT Industry Development Agency (ITIDA), captures the growth of Egypt’s venture capital ecosystem in 2020 and tracks its evolution over the past five years. This is complemented by a detailed industry analysis, investor ranking, MENA country comparison and a compilation of the largest deals.

Egypt’s venture investment ecosystem has stood out as one of MENA’s most rapidly developing venture markets since 2015. Its cumulative annual growth rate (CAGR) over the past five years was recorded at 100%, more than thrice the average pace of growth across the entire MENA region (31% CAGR). This progressive rise in funding meant Egypt finished 2020 with an all-time high venture investment of $190M, which was largely driven by the funding rounds of three startups.

Amidst the backdrop of COVID-19, Egypt-based startups faced a 14% YoY fall in the number of transactions, propelled by a drop in accelerated deals. Despite this, startups raised 13% more funding than they did in 2019.
 

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REPORT HIGHLIGHTS:

- 2020 saw $190M invested in Egypt-based startups, a record amount of total funding

- International firms represented 32% of all investors supporting Egyptian startups in 2020

- Every fifth funding transaction in MENA was closed by an Egyptian startup

- Digital adoption in E-commerce and Healthcare was positively impacted in 2020

- 2020 saw more later stage deals, albeit with a smaller share in capital than 2019

- Following an all-time high of six exits in 2019, the Egyptian startup ecosystem recorded three exits in 2020


This report includes venture investment analysis for Egypt’s transactions in 2020:

•  Aggregation and analysis of all tech startup investments in Egypt
•  A list of the most active investors in Egypt, including venture capital (VC) investors, angel networks, and accelerator programs
•  Analysis of the top funding rounds in Egypt in all sectors presenting an increasing trend of digital adoption in E-commerce, Healthcare and Transport
•  Review of all Exits in Egypt including Mergers and Acquisitions in 2020



This report was created with data from MAGNiTT, which is a comprehensive directory of emerging tech and new business strategies through tools like:

Investment directories, a comprehensive list of all startup venture funding across the Middle East, North Africa, Pakistan and Turkey
Market sizing tools to visualize investment growth and trends across industries, geographies and stage
Startup resources including a deal flow tool for applications to leading Venture Capitalists for investment
Exit comparisons, looking at Mergers & Acquisitions from across the region

Data Insights