Early-stage funding momentum stable in MENA region

Egypt-based KNOT Technologies has raised $1 million in a pre-seed funding round, led by A15. (Supplied)
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Updated 25 January 2026
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Early-stage funding momentum stable in MENA region

  • MENA startups witness multiple funding rounds across various sectors

RIYADH: Startups operating in the Middle East and North Africa region have witnessed multiple funding rounds across various sectors in recent weeks, as they aim to push geographical boundaries and increase offerings. 

This momentum builds on the record $7.5 billion funding received by startups in 2025, representing a 225 percent increase compared to the previous year, according to Wamda data. 

The report revealed that Saudi Arabia emerged as the most funded ecosystem, raising $5 billion across 211 deals, followed by the UAE with $2 billion, and Egypt with $263 million. 

Wamda revealed that investment momentum in the MENA region accelerated in the second half of 2025, with 310 startups raising $5.7 billion, compared to $2 billion raised in the first six months. 

The sustained momentum in early-stage funding reflects continued investor interest in the region amid global economic headwinds.

KNOT Technologies raises $1m

Egypt-based KNOT Technologies, an AI-native ticketing and access control platform, has raised $1 million in a pre-seed funding round, led by A15, an early-stage venture capital firm headquartered in Cairo. 

In a press statement, KNOT Technologies said that the funding will be used for product development, international expansion, and deeper integrations across the live events ecosystem.

“Ticketing has become a financial black hole, with value leaking into unregulated channels and no modern tools to prevent it. Organizers lack visibility and control, and fans are paying the price. That is why we started KNOT, to unlock real economic value and rebuild trust between businesses and their customers,” said Ahmed Abdalla, co-founder and CEO of KNOT. 

Karim Beshara, founder at A15, said that the VC firm decided to invest in KNOT because the company is tackling a “complex global problem with a genuinely novel approach.” 

Beshara added: “Their technology has the potential to reshape how trust and identity work in ticketing, and we believe they are uniquely positioned to lead this transformation.” 

OpenCX raises $7m

OpenCX, a Jordan-based AI-native enterprise customer communication platform, has raised $7 million in a seed funding round led by Y Combinator and X by Unifonic. 

In a press statement, the company said the round also witnessed the participation of Shorooq, acting as a fund manager, and Sadu Capital.

The firm added that the funding will be used to accelerate growth across global enterprise customers, as it prepares to explore the Gulf market. 

The company is also preparing to expand its presence in Saudi Arabia, where it plans to establish a regional office in the coming months as part of its broader Gulf Cooperation Council strategy. 

OpenCX is an AI-powered enterprise customer communication platform that automates over 70 percent of customer interactions across voice, chat, email, and messaging channels. 

Designed for complex, high-volume, and regulated environments, OpenCX enables enterprises to scale customer engagement with empathy, reliability, and operational confidence. 

“Enterprises today aren’t struggling with customer support volume alone— they’re struggling with complexity,” said Mohammad Gharbat, CEO and co-founder of OpenCX.

He added: “Our focus has always been on helping organizations scale confidently, without customer communication becoming a limiting factor. OpenCX is built to operate where the stakes are high, the workflows are complex, and trust matters.” 

Grove closes $5m seed round

Grove, a Saudi-based agriculture tech startup, has closed a $5 million seed round led by Outliers VC with participation from a group of angel investors. 

Founded in 2024 and headquartered in Riyadh, the company is specialized in producing and marketing fresh agricultural products directly to consumers through strategic partnerships with local farmers, according to a press statement. 

The company connects farms, markets, and households, operating as a vertically coordinated system rather than a loose collection of suppliers, ensuring the entire harvest finds its optimal path to value that is designed around what the actual consumer wants. 

The latest funding comes as the Kingdom’s agricultural market continues to expand, with the sector valued at an estimated $31.5 billion and plant-based food imports reaching $10.7 billion in 2025.

“For generations, farming was rooted in responsibility to the land and community. Over time, short-term commercial pressure has pushed practices that damage soil, water, and long-term sustainability. At Grove, we are restoring that balance by equipping farmers with the data, tools, and incentives needed to protect resources and build for the future,” said Mohammed bin Ghanam, co-founder of Grove. 

Mohammed Al-Meshekah, Outliers VC founder, said: “What drew us to Grove was not just the product, but the team’s ability to rethink the relationship between farmers and the market. Their integrated approach brings quality back to the center, reconnects consumers with the source, and positions Grove as a key contributor to a more resilient and sustainable food system in Saudi Arabia.” 

Dataroid raises $6.6m to boost global expansion

Dataroid, a Turkiye-based AI-powered digital analytics and customer engagement platform, has completed a $6.6 million pre-series A investment round led by the FinAI Venture Capital Fund of Tacirler Asset Management.

According to a press statement, the round also witnessed the participation of Tacirler Asset Management Future Impact Venture Capital Fund and Endeavor Catalyst.

With the new investment, the company plans to expand its operational footprint across new geographies, particularly in Europe, the Middle East and Africa. 

The funding will also be used to accelerate the company’s global marketing efforts and strengthen its self-service analytics capabilities through ongoing AI-powered product development initiatives.

“Working with banks in Turkiye that reach tens of millions of digital customers gives Dataroid a strong foundation for global expansion. As the market-leading digital analytics platform for banking and financial services in Turkiye, our platform today enhances the digital experience of more than 120 million users,” said Fatih İşbecer, co-founder of Dataroid. 

He added: “We see expanding this value to new markets as a priority. With this new funding, we aim to strengthen Dataroid’s AI-focused capabilities in line with customer needs and accelerate our global marketing initiatives to bolster our presence in international markets, particularly across EMEA and Western Europe.” 

Resquad AI raises $1.5m to scale recruitment capabilities

Saudi-based Resquad AI, a recruitment platform powered by artificial intelligence technology, raised $1.5 million in a seed funding round led by SRG, with participation from a group of angel investors.

In a press statement, the company said that the funding will support its regional and international expansion plans and accelerate its growth in the global technology recruitment market.

Resquad AI is also preparing for the official launch of its platform, an AI-powered Software-as-a-Service solution and global B2B marketplace for developers, enabling companies to access technical talent beyond geographical boundaries.

Commenting on the funding round, Abdullah Al-Jaafari, founder and CEO of Resquad AI said that the investment is expected to support the company’s vision of building a global recruitment ecosystem driven by innovation and high-impact partnerships across both the public and private sectors, with a strong focus on expansion across the GCC. 

Founded in 2024, Resquad AI has now established its presence in 52 countries, positioning itself as one of the Saudi platforms supporting cross-border recruitment.


Saudi ports brace for cargo surge as shipping lines reroute

Updated 09 March 2026
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Saudi ports brace for cargo surge as shipping lines reroute

RIYADH: Preliminary estimates suggest that several global shipping lines could reroute part of their operations to Saudi Arabia’s Red Sea ports, potentially adding 250,000 containers and 70,000 vehicles per month, according to Rayan Qutub, head of the Logistics Council at the Jeddah Chamber of Commerce, in an interview with Al-Eqtisadiah.

“Any disruption in the Strait of Hormuz not only affects maritime traffic in the Arabian Gulf but could also reshape global trade routes,” Qutub said, highlighting the strait’s status as one of the world’s most critical maritime chokepoints for energy and goods transport.

With rising regional tensions, international shipping companies are reassessing their routes, adjusting shipping lines, or exploring alternative sea lanes. This signals that the current challenges extend beyond the Arabian Gulf, impacting the global supply chain as a whole.

Limited impact on US, European shipments

The effects of these developments will not be uniform across trade routes. Qutub noted that goods from China and India, which rely heavily on routes through the Arabian Gulf, are most vulnerable to disruption. In contrast, shipments from Europe and the US typically traverse western maritime routes via the Suez Canal and the Red Sea, making them less susceptible to regional disturbances.

Saudi Arabia’s strategic location, he emphasized, strengthens the resilience of regional trade. The Kingdom operates an integrated network of Red Sea ports — including Jeddah, Rabigh, Yanbu, and Neom — that have benefited from substantial infrastructure upgrades and technological enhancements in recent years, boosting their capacity to absorb increased cargo volumes.

Red Sea bookings

Several major carriers, including MSC, CMA CGM, and Maersk, have already opened bookings to Saudi Red Sea ports, signaling a shift in operational focus to these strategically positioned hubs.

However, Qutub warned that rerouted shipments could increase sailing times. Cargo from Asia, which normally takes 30-45 days, might now require longer voyages via the Cape of Good Hope and the Mediterranean, potentially extending transit to 60-75 days in some cases.

These changes are also reflected in rising shipping costs, driven by longer routes, higher fuel consumption, and increased insurance premiums — a typical response when global trade patterns shift due to geopolitical pressures.

Qutub emphasized that Saudi Arabia’s transport and logistics sector is managing these developments through coordinated government oversight. The Ministry of Transport and Logistics, the Logistics National Committee, and the Logistics Partnership Council recently convened to evaluate the impact on trade and supply chains. Regular weekly meetings have been established to monitor developments and implement solutions to safeguard the stability of supplies and continuity of trade.

He noted that the Kingdom’s logistical readiness is the result of long-term strategic investments, encompassing ports, airports, road networks, rail systems, and logistics zones. Today, Saudi logistics integrates maritime, land, rail, and air transport, enabling a resilient response to global disruptions.

Qutub also highlighted the need for the private sector to continuously review logistics and crisis management strategies, develop alternative plans, and manage strategic stockpiles. Such measures are essential to mitigate temporary fluctuations in global trade and ensure smooth supply chain operations.