Seven months into 2025, startup funding in the Middle East and North Africa (MENA) has already surpassed the full-year total for 2024, fueled by blockbuster raises in July that created two new unicorns in a single month.
According to regional data, MENA startups raised an eye-catching $783 million in July alone, a surge of 1,411% from June and more than double July 2024’s figure. The spike underscores a dramatic investor mood shift—from cautious optimism to bold execution.
Saudi Arabia and UAE Dominate
Saudi Arabia led the pack with $396.5 million across 16 deals, powered by Ninja, a quick-commerce platform that secured $250 million, propelling it into unicorn status.
The UAE followed with $359 million across 22 startups, two-thirds of which came from XPANCEO, a deeptech startup that raised $250 million Series A to also join the unicorn club.
Together, Saudi Arabia and the UAE accounted for the majority of July’s funding, showcasing their unmatched investor networks, policy backing, and ability to attract both regional and global capital.
Unexpected New Entrants
Beyond the dominant duo, Iraq secured third place with InstaBank’s $15 million raise, marking a rare spotlight moment for the country. Morocco followed in fourth with Ora Technologies’ $7.5 million round, while Egypt slipped to fifth, registering just $4 million across seven startups—its weakest monthly performance in years.
Sector Shifts: Deeptech and E-Commerce Take the Lead
For the first time in months, deeptech overtook fintech, raising $250.3 million from just four deals. E-commerce matched that figure, thanks to Ninja’s mega raise. SaaS startups attracted $88.9 million, while fintech fell to $61 million, signaling shifting investor preferences toward IP-heavy ventures and consumer platforms.
Concentration of Capital
Two deals—XPANCEO and Ninja—accounted for 56% of July’s total funding. Series A rounds were particularly strong, generating $267 million, while later-stage deals brought in $158 million. Early-stage companies raised $36 million across 26 transactions. Debt financing was minimal at just 2% of the total.
Consumer-Facing Models Back in Favor
B2C startups roared back, pulling in $534 million, compared to $202.4 million for B2B ventures, reversing earlier trends that favored enterprise solutions.
Gender Gap Persists
Despite record-breaking funding, the gender divide remains stark. Male-founded startups raised 98.9% of July’s capital ($774.5M). Mixed-gender teams attracted $5.8M, while female-led ventures raised just $3M across eight deals.
