RIYADH: Investment funds are set to plough $646 million into Saudi Arabia’s digital sector to boost innovation and entrepreneurship.

The eight projects will target the growth of start-ups and medium-sized companies as they ignite competition in the fields of research, development and innovation.

The Ministry of Communications and Information Technology announced the new funds at the LEAP 23 conference being held in Riyadh. 

The leading fund stands at $150 million, and intends to provide alternative financing that is compatible with Islamic law, which will be used for developing technology companies.  

The Saudi investment company Impact 46 also launched a $133 million fund targeting emerging tech companies in the Middle East and North Africa region.  

Merak Capital announced a $53 million pot to develop the Kingdom’s tech companies, and the Saudi Investment Bank has created a $40 million fund to launch an innovation incubator for financial tech. 

Rakeza also launched a daring investment fund worth $25 million, supported by a global business accelerator in Riyadh.  

BIM Ventures Co. has set aside $100 million for business development, and will work with Al-Sulaiman Group to use its corporate-building studio to create emerging tech companies that are both innovative and financially stable.  

A leading tech investor in the region, Shorooq, also opened its second investment fund with a value of $115 million. It was launched to develop companies in the Kingdom, as well as to create another financial fund to accelerate electronic games.  

To conclude the round of investment fund announcements was Planetary Capital’s launch of the first Saudi-Canadian fund.  

It intends to invest in emerging space tech companies, both local and global, with a value of $30 million.