The entrepreneurial ecosystem in the Middle East and North Africa (MENA) region saw significant growth in July 2025. A total of 57 startups raised $783 million, marking a 1,411% increase compared to the previous month, and more than double the total raised in July of the previous year. This sharp rise was driven by two major investment deals.
Sectoral Distribution and Investment Models
In July, the deeptech sector received the largest share of investment, with $250.3 million. The e-commerce sector also made a strong comeback, attracting $250 million, particularly due to Ninja’s record-breaking investment. Software-as-a-Service (SaaS) startups raised $89 million, while the fintech sector secured $61 million, placing it in fourth place. This shift reflects growing interest in intellectual property-focused, innovative, and scalable ventures.
The majority of the investments were in equity, with debt financing accounting for only 2%. Consumer-facing (B2C) startups raised $534 million, led by XPANCEO and Ninja. Meanwhile, B2B (business-to-business) startups received $202.4 million across 32 deals. This data shows an increasing interest from investors in consumer-focused ventures.
Investments for female entrepreneurs remained low, with female-led startups raising $3 million, and mixed-gender founding teams raising $5.8 million. Male-led ventures, on the other hand, received a total of $774.5 million from 43 deals. This indicates the ongoing gender-based investment inequality in the region.
The strong performance in July 2025 demonstrates the maturity of MENA’s innovative entrepreneurial ecosystem and growing investor interest in the region. Record investments in Saudi Arabia and the UAE, along with notable investments in emerging markets like Iraq and Morocco, are diversifying the investment landscape. These developments position MENA as a region with significant growth potential in sectors such as deep technology, artificial intelligence, logistics, energy, and cross-border trade.