According to Wamda’s latest investment report, April’s funding volume marked a 211% increase compared to March, when geopolitical tensions and economic uncertainty significantly slowed dealmaking. Yet, overall funding levels still remained 42% lower than April 2025, reflecting the broader pressure facing the global startup ecosystem.

A major trend shaping April’s investment landscape was the growing dominance of debt financing. Nearly half of the total capital raised during the month came through debt-based transactions, accounting for approximately $80 million across only two deals. The report noted that investors are increasingly favoring capital-efficient structures and downside protection strategies instead of traditional equity-heavy investments.

Fintech Continues to Lead MENA Startup Investments

Financial technology remained the strongest-performing sector for the fourth consecutive month, attracting $89.4 million across seven deals. Investors continued backing fintech companies focused on financial infrastructure, enterprise services, and scalable digital payment solutions, sectors considered more resilient during volatile market conditions.

Business-to-business startups also maintained strong momentum, securing $95.8 million across 11 transactions. Investors increasingly prioritized companies with predictable revenue models, enterprise clients, and long-term monetization strategies, reflecting a broader shift toward sustainable and defensible business operations.

Meanwhile, e-commerce startups regained momentum after slowing in March, raising $19.3 million across four deals. Online services startups collected $15 million, while food technology companies secured $13 million through two transactions.

UAE Maintains Leadership as Saudi Arabia and Egypt Follow Closely

The UAE once again led regional startup funding activity, attracting $78 million across eight deals and accounting for more than half of the total capital raised during April. Saudi Arabia ranked second with $26.2 million raised across seven startups, while Egypt maintained its position as one of the region’s most active startup ecosystems with a similar funding total spread across five deals.

Smaller Gulf markets including Oman, Bahrain, and Qatar also experienced increased startup activity, collectively securing $14.5 million through five transactions, indicating broader regional participation in venture funding.

Siin Expands Live Commerce Presence Across the Gulf

Among the notable deals announced during April was Bahrain-born e-commerce startup Siin, which secured fresh investment, bringing its total funding to $3 million. The round was led by VentureSouq and Shift Group, with participation from Plus VC, Oqal, and several regional investors.

Founded in 2024 by Ahmed Al-Lawi, Hesham Al-Saati, and Khaled Al-Balooshi, Siin operates an interactive live-commerce platform that allows users to buy and sell products through livestream shopping experiences. The company currently operates across Saudi Arabia, the UAE, Kuwait, Bahrain, Qatar, and Oman.

The startup plans to use the new funding to expand across the region, strengthen its seller ecosystem, and further scale its platform infrastructure. The rise of live-commerce platforms reflects growing demand for video-driven shopping experiences as retailers and creators increasingly seek more interactive ways to engage digital consumers.

Female-Led Startups Return to the Funding Landscape

April also marked the return of female-led startups to the regional investment ecosystem after two months without recorded funding activity. Female-founded startups raised $1.5 million across five deals, while startups led by male founders secured $138.8 million across 19 transactions. Mixed-gender founding teams raised an additional $10 million through three deals.

Despite the funding rebound, Wamda’s report concluded that investors remain highly selective, favoring startups aligned with institutional demand, financial infrastructure, and AI-driven technologies. While market activity has resumed, capital deployment continues to prioritize risk management, sustainable growth, and operational resilience over aggressive expansion strategies.

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