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A MAGNiTT report released this week placed Saudi Arabia as the largest single source of venture investors across the MENA region in the first half of 2026 with a 26 percent share of all participants. The platform recorded a 26 percent year-on-year decline in overall investor activity to 243 participants while international investors dropped 48 percent and regional investors slipped only 2 percent. The 10 most active investors handled 45 percent of all MENA transactions during the period compared with 39 percent a year earlier according to MAGNiTT figures.
MAGNiTT data showed Saudi startups raising 219 million dollars across 72 rounds in the same period a 74 percent decline in value from the first half of 2025. Saudi-based investors supplied 74 percent of that capital up from 54 percent in the prior corresponding period as local participants filled gaps left by more cautious overseas backers. Riyadh-based Merak Capital led the region with 7.1 million dollars deployed across 19 transactions according to the platform.
The same MAGNiTT dataset indicated the UAE attracted 895 million dollars across 79 rounds to lead the region in capital deployed even as its deal count declined. Egypt followed with 142 million dollars in 24 transactions while Morocco recorded the sharpest growth jumping 305 percent to 32 million dollars. These patterns reflect a broader shift toward domestic and regional capital across MENA markets in the first half of 2026.
MAGNiTT functions as a verified data aggregator focused on startup and venture activity throughout the Middle East and North Africa. Its latest release underscores the Kingdom’s rising prominence as an originator of investors even within an environment of contracting overall activity and reduced check sizes. Saudi Arabia maintained a 34 percent share of total MENA deal count during the period according to the platform.
Separate analysis citing MAGNiTT data noted that gaming led Saudi deal volume while fintech captured the majority of capital deployed in the Kingdom. Merak Capital’s activity centered on gaming startups helping it overtake other regional funds in transaction numbers. The platform’s findings align with reports of Saudi venture firms continuing to raise and deploy capital despite wider geopolitical caution affecting international limited partners.
MENA startups overall raised 1.35 billion dollars across 214 agreements in the first half of 2026 according to MAGNiTT with both capital and deal count falling from the previous year. The half-year deal total represented the lowest such figure since at least 2022 per the data. Local investors funded 81 percent of the regional total their highest share in more than five years as international capital retreated.
