The Middle East and North Africa (MENA) startup ecosystem saw a substantial surge in investment in April 2025, securing $228.4 million across 26 deals. This figure marks a 105% increase from the funds raised in March and almost a 300% increase compared to April last year.

In fact, the absence of debt-financed deals last month underscores the remarkable upward trajectory of the Arab startup ecosystem.

In the past month, the UAE's startup ecosystem led MENA in funding, securing $197 million across 10 startups. iMENA Group's pre-IPO round accounted for the largest share at $135 million, with HRA Experience's $40 million deal following.

Saudi Arabia secured a distant second place, with its startups raising a total of $23.5 million across seven deals. Morocco experienced a significant rise to third, attracting $4 million in investment for two startups. Egypt trailed behind, with four startups securing only $1.5 million.

Last month, e-commerce attracted the most investment, bagging $137.5 million through four deals. However, removing iMENA’s significant contribution highlights fintech's continued appeal to investors, with the sector capturing $44 million across seven deals. Traveltech also rose to the top investment ranks due to HRA Experience’s transaction. Notably, SaaS startups established a presence in April, raising $1.8 million in three deals after a minimal showing in the first quarter of the year.

While later-stage investment in April was limited to iMENA’s pre-IPO round, early-stage startups dominated activity, raising $49 million across 20 transactions.

Funding for female-led startups keeps shrinking, reaching a shameful low of under $500,000 in April. In contrast, startups with male founders secured 97% of all investments. An additional $6.5 million was invested in three startups with both male and female co-founders.

The business-to-business (B2B) sector led funding last month, with an impressive $180 million secured across 12 deals. The business-to-consumer (B2C) model was followed with $43 million invested in seven startups. The remaining investments went to six startups operating with dual B2B and B2C models.