The Q1 2023 United Arab Emirates (UAE) Venture Investment Report is one of MAGNiTT's flagship reports that provides a quarterly update on the venture capital and startup ecosystem in the country.
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Over the past few years, the UAE has been focusing on diversifying its economy and focusing on more innovative non-oil sectors like information technology, real estate, agriculture, aviation, etc. Moreover, economists predict that growth in the UAE is expected to pace this year over reduced oil demands amid fears of a looming recession. Last month, S&P Global UAE Purchasing Managers’ Index report revealed that non-oil private sector growth in the UAE also declined in January, registering a 12-month low. All in all, the geography started the year on a lukewarm note and we saw the impact of the economic downturn reflected in the country’s startup ecosystem too.
Recording a 12% quarter-on-quarter decline in the total number of deals and 60% in terms of funding, the UAE secured north of $150M across 30 deals in the first quarter of the year. While Q4 last year boasted a sharp increase in funding, it was largely driven by the $200M MEGA deal closed by EMPG. However, despite removing the impact of the $100M+ round, the retreat in funding holds, albeit not at a level as significant as 60%. The economic downturn also led UAE to record Q1’23 as the fifth consecutive quarter of decline for the total number of deals. The month-on-month activity too reflected the economic woes as February reported a retreat of almost 95% in funding compared to the first month of the year, marking it as the lowest-performing month since September 2020.
What’s In The Report?
The latest quarterly report offers strategic insights into the UAE's performance. This report covers a 5-year analysis of the UAE's venture funding evolution, with a specific focus on the country comparison and industry performance in 2023. You will get access to precious information such as:
UAE Venture Funding Evolution: Get a detailed analysis of the past five years, highlighting the growth and development of venture funding in UAE with a focus on the performance in 2023.
Key rankings such as the Top 20 investors, Top 20 funding rounds, Top 10 last exits, and 5-Year exit evolution of the UAE.
Who is it for?
Whether you’re a private investor, a VC, an investment company, a CVC, or working in corporate, this report gives an overview of the ecosystem and caters to a diverse audience including any curious minds who want to use the yearly, quarterly and monthly charts in this report to track investment activity.
You can also see in which country and industry the investment activity focused in terms of deals and capital deployed, allowing you to leverage insights and make wise choices.
The report can also be used by consultants looking to identify technology innovation trends and who will find it valuable to look at the evolution of M&A activity and concentration of acquirers/acquired startups.
Last but not least, government entities searching for investment opportunities will also find valuable information to make informed decisions.
Where is this information from?
The report was 100% created using data from MAGNiTT. MAGNiTT is the leading VC verified data platform and offers a comprehensive directory of technology innovation trends. Our unique SaaS solution includes investment directories listing startup venture funding across the Middle East, Africa, Pakistan, and Turkey, and now Singapore. By using MAGNiTT, you will also get access to market sizing tools to visualize investment growth and trends across various industries, geographies, and stages, as well as comparison tools for benchmarking geographies, industries, and investor performance. Furthermore, MAGNiTT offers exit comparisons by examining mergers and acquisitions.
Learn more about MAGNiTT's Data Methodology.
*This report aggregates and analyses tech startup investments in 17 countries in the Middle East and North Africa - listed alphabetically: Algeria, Bahrain, Egypt, Iraq, Jordan, Kuwait, Lebanon, Libya, Morocco, Oman, Palestine, Qatar, Saudi Arabia (KSA), Syria, Tunisia, United Arab Emirates (UAE), and Yemen.