Saudi Arabia Venture Capital Report FY 2025 (Saudi Venture Capital Company (SVC))

Summary

• Saudi Arabia recorded $1.72 billion in total VC funding across 257 transactions in 2025, reaching historic highs in both capital deployed and deal count.p.5
• The Kingdom accounted for 45% of all venture capital deployed across the MENA region in 2025, up from 32% in 2024.p.7
• For the first time, Saudi Arabia recorded more deals than the UAE, capturing 37% of all MENA transactions.p.7
• FinTech maintained its position as the top sector by securing $506M in funding across 55 deals.p.7
• The ecosystem attracted a record 194 active investors in 2025, with international investors accounting for 34% of the total.p.7
• Early-stage deals (Pre-Seed and Seed) dominated activity, representing 87% of all transactions in Saudi Arabia.p.18
• Exit activity doubled to 10 M&A transactions in 2025, alongside one VC-backed IPO on Tadawul.p.22

Key insights

1. Venture capital funding in Saudi Arabia has grown nearly 25-fold since 2018, demonstrating a structural evolution in the market.p.4
2. Non-mega deal funding reached a record high of $1,149M in 2025, representing a 101% YoY increase.p.9
3. Series B funding surged nearly 5x from $93M in 2024 to $448M in 2025 across nine deals.p.9
4. Pre-Seed capital hit a record $56M (+78% YoY) across 82 deals, representing a 105% YoY growth in deal count.p.9
5. Saudi Arabia took the leading rank in MENA for both mega funding at $571M and non-mega funding at $1.15Bn.p.11
6. FinTech and E-commerce jointly accounted for 52% of all capital deployed in Saudi Arabia in 2025.p.14
7. Enterprise Software surged to become the second most active sector with 40 deals, up 111% YoY.p.15
8. The top five disclosed VC deals accounted for 41% of total funding in Saudi Arabia during 2025.p.17
9. US-based investors represented 17% of the total investor cohort participating in Saudi startup rounds.p.20
10. Six out of the ten M&A transactions in 2025 were executed by domestic Saudi buyers.p.22