June 2025 witnessed a notable surge in startup investments across the Middle East and North Africa (MENA), with over 25 funding deals closed in advanced sectors such as Artificial Intelligence (AI), Web3, AgriTech, and gaming.
This momentum underscores the region’s accelerating digital transformation and growing entrepreneurial drive, despite global economic challenges.
“Saudi Arabia Leading the Future”
Saudi Arabia 🇸🇦 emerged as a strategic tech investor, while Egypt 🇪🇬 demonstrated a high volume of startup activity and initiatives.
The UAE reinforced its status as a regional capital for major deals, while Algeria, Tunisia, and Qatar saw growing early-stage activity and strategic partnerships.
Total announced funding for the month exceeded $180 million, with expectations of increased deal activity in H2 2025.
Key Highlights:
- Total Announced Funding: Over $180 million
- Total Deals: 25+
- Top Sectors: AI, Fintech, Web3, Logistics, AgriTech, EdTech
| Country | Deals Count | Estimated Total Funding |
| 🇸🇦 Saudi Arabia | 7+ | $60M+ |
| 🇪🇬 Egypt | 6+ | $10M+ |
| 🇦🇪 UAE | 5+ | $65M+ |
| 🇩🇿 Algeria | 1 | Undisclosed |
| 🇹🇳 Tunisia | 1 | €3.1M |
| 🇶🇦 Qatar | 1 | QAR 855K |
Table 1: Investment Distribution by Country
Saudi Arabia: Strategic Tech Investments Take the Lead
- $5M deal by Impact46 into US-based Spekter Games (Web3/Gaming)
- Launch of the 9th edition of Sanabil Accelerator in Riyadh
- Fresh investment in Darwinz AI to scale its PR analytics platform “Deema”
- iSchool acquires SEEDS to expand AI education for children
- Early-stage rounds for Stitch ($10M, Fintech) and Mida (ConstructionTech)
Egypt: Vertical Innovation and Ecosystem Growth
- AgriCash closes a pre-seed round to offer BNPL services for farmers
- Nowlun raises $2.3M for an AI-powered logistics assistant
- Aria Ventures launches a EGP 50M deep tech fund
- Octane secures $5.2M to optimize fleet expense management
- HR for Startups, an enablement event by Outsourcy, boosts talent infrastructure
| Company | Sector | Funding (Est.) |
| AgriCash | AgriTech | Undisclosed |
| Nowlun | AI / Logistics | $2.3M |
| Aria Ventures | Deep Tech | ~$1.6M |
| Octane | Fleet Ops / FinOps | $5.2M |
| Outsourcy HR | HR Enablement | Undisclosed |
Table 2: Key Startup Deals in Egypt
UAE: Big Tickets and Advanced Technologies
- Applied AI closes the month’s largest deal: $55M Series A
- Prop-AI raises $1.5M to digitize real estate
- Releated secures $8M for loyalty program infrastructure
- Hoko Agency acquires Everdome to enhance its metaverse content strategy
Algeria, Tunisia, Qatar: Signs of Early-Stage Momentum
- Algeria’s Talenteo receives strategic funding from 216 Capital
- Tunisia’s Kumulus Water raises €3.1M to advance sustainable water generation
- Qatar’s ShipBee secures QAR 855K in pre-seed funding for smart logistics
Sector Trends: AI Leads, Web3 Expands
AI was the dominant vertical, featuring in over 10 deals across the region, with key players including AppliedAI, Darwinz AI, Nowlun, Qanooni AI, and Prop-AI.
Web3 and immersive tech also gained traction, with funding rounds for Spekter Games, Idea-L®, and Everdome’s acquisition by Hoko.
| Sector | Deals | Notes |
| Artificial Intelligence | 10+ | Highlights include AppliedAI, Nowlun, Darwinz AI |
| Web3 & Gaming | 3 | Includes Spekter Games, Idea-L®, Everdome acquisition |
| Logistics | 3 | Nowlun, ShipBee |
| AgriTech | 2 | AgriCash, Kumulus Water |
| EdTech | 2+ | iSchool, HR for Startups event |
Table 3: Leading Sectors by Funding Activity
Final Analysis:
- Saudi Arabia continues to shape the region’s tech future through strategic and global-facing investments.
- Egypt gains traction with high deal volume, diversified innovation, and infrastructure building.
- UAE maintains its edge as a magnet for mega-deals in advanced sectors like AI and real estate tech.
- North African and Gulf countries are signaling maturing ecosystems and growing investor confidence.
H2 2025 Outlook:
Expect continued momentum in:
- CleanTech
- Cybersecurity
- Digital Education
- Generative AI
Major upcoming rounds are anticipated in Saudi Arabia and UAE, with Egypt and Tunisia poised for strategic partnerships and follow-on funding.
June’s performance reflects a transitional phase, where MENA’s startup ecosystem is evolving into a more mature, cross-border innovation economy—with Gulf capital playing a decisive role in shaping the global tech narrative.
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