We are thrilled to launch our Economic and Social Impact Snapshot, reflecting on the fund's journey and impact on the regional landscape since starting operations in early 2018. Through our investments in rising digital champions, we are proud to have played a part in regional digital transformation and economic diversification.
In recent years, Saudi Arabia, and the MENA region in general, has seen a significant increase in the amount of venture capital funding. In H1 2020, Saudi Arabia saw an increase of 102% in total VC funding compared to H1 2019, making it the fastest growing ecosystem by total funding in the MENA region. Moreover, as highlighted in our previous report, this growth trend is expected to continue with VC funding in Saudi Arabia estimated to reach $500 million by 2025.
Given this anticipated growth, the favourable regional demographics, and Vision 2030’s emphasis on technological advancements, STV continuously looks for opportunities to unlock the potential of the region by backing its emerging digital champions.
Since starting operations a little under 3 years ago, STV has led 30% of all VC fundraising in Saudi Arabia. It has led and participated in regional funding rounds totaling $333 million, accounting for a sizable 16% of all VC fundraising in MENA. With this contribution, the fund has quickly become one of the largest contributors to VC funding and technology enablement in the region.
Learn more about the economic and social impact of STV and our world-class portfolio companies here.