Saudi Venture Capital Co. (SVC) has committed $1 billion in investments since its inception in 2018, with its total assets, including partner contributions, reaching approximately $4.8 billion, according to the company’s latest “Impact Report.” The report underscores SVC’s role in fostering Saudi Arabia’s private capital ecosystem, contributing significantly to record growth in venture capital, private equity, venture debt, and private credit markets.
Saudi Arabia Leads MENA in VC Investments
Saudi Arabia has solidified its position as the top destination for venture capital (VC) investments in the Middle East and North Africa (MENA) region for the second consecutive year. According to data from MAGNiTT, the Kingdom secured $750 million in VC funding in 2024, accounting for 40 percent of total regional VC capital. The nation also witnessed a 16 percent increase in deal flow, closing 178 deals—the highest in the region. The United Arab Emirates (UAE) followed with $613 million in VC investments across 188 deals, leading the region in deal volume and achieving 12 exits.
SVC’s Strategic Contributions
Since its founding, SVC has backed 54 funds that have invested in over 800 startups and small and medium enterprises (SMEs) across vital sectors, including e-commerce, fintech, healthcare, education technology (edtech), transport, and logistics.
SVC’s efforts have played a crucial role in attracting investors to Saudi startups and SMEs. Its strategic initiatives have encouraged both regional and international investors to establish and expand venture capital and private equity funds in the Kingdom, fostering a robust entrepreneurial ecosystem aligned with Saudi Vision 2030.
“We are committed to further stimulating the private capital ecosystem in Saudi Arabia by launching required investment programs and developmental initiatives based on an analysis of the ecosystem’s needs,” said Dr. Nabeel Koshak, CEO and board member of SVC for Arab News.
Expanding Saudi Arabia’s Private Capital Ecosystem
The “Impact Report” highlights how SVC has strengthened the private capital ecosystem by introducing initiatives that address the sector’s needs. Among these are educational collaborations with local and international partners designed to enhance the skills of fund managers and investors. SVC also facilitates data-driven decision-making through the publication of market insight reports that provide valuable intelligence on investment trends.
The company’s influence extends beyond financing; its developmental programs aim to sustain long-term growth in Saudi Arabia’s investment landscape. These initiatives have been instrumental in increasing investor participation, leading to the establishment of new VC and private equity funds and attracting regional and global investors to Saudi startups.
The Role of Saudi Vision 2030
SVC’s success is closely linked to the Kingdom’s broader economic diversification goals outlined in Saudi Vision 2030. This national strategy aims to transform Saudi Arabia into a global investment powerhouse by reducing reliance on oil revenues and fostering growth in non-oil sectors. The rise in VC and private capital investment is a key indicator of progress toward these goals.
Saudi Arabia’s financial sector is undergoing rapid transformation, with increased government support for startups and SMEs through funding mechanisms such as the SME Bank, under which SVC operates. The Kingdom’s emphasis on innovation and entrepreneurship has positioned it as a leading hub for investment in the MENA region.
Future Outlook
Looking ahead, SVC aims to further strengthen Saudi Arabia’s private capital ecosystem by introducing new investment programs tailored to market needs. The company’s focus remains on increasing financing opportunities for startups and SMEs at various growth stages, from pre-seed to pre-IPO rounds.
Through its continued investment in venture capital, private equity, venture debt, and private credit, SVC is set to play a pivotal role in shaping the future of Saudi Arabia’s financial landscape. By fostering a dynamic entrepreneurial environment and attracting international capital, SVC is helping to realise the ambitious goals of Saudi Vision 2030.
As the Kingdom continues to lead the MENA region in venture capital investments, the role of SVC will remain integral to ensuring sustained economic growth and innovation-driven development. The company’s commitment to financial empowerment and ecosystem development is poised to drive Saudi Arabia’s private capital sector to new heights.
