MENA Startups Raise $375 Million in August, but North Africa Misses the Rebound

Startups across the MENA region raised $375 million in August, but North African ecosystems were notably absent from the rebound: Morocco, Egypt and Tunisia recorded no funding deals for the month, while Algeria, Libya and Mauritania also saw no activity. The total came from 27 startups, but was heavily concentrated in a handful of large rounds — most prominently a $250 million Series C for mobility firm Moove, which accounted for roughly two-thirds of the region’s haul.

"The contrast with the Gulf is hard to ignore," the monthly analysis states, underscoring the widening gap between Gulf hubs and North African markets.

The country-level breakdown highlights that concentration. The United Arab Emirates dominated August funding with $362 million raised across 13 deals — almost 97% of MENA startup capital for the month. Saudi Arabia followed with $10.25 million across six startups, and Jordan ranked third with $2 million. Smaller contributions came from Oman, Iraq and Bahrain.

• Top individual deal: Moove — $250 million Series C
• Fintech sector: $83.8 million across six startups
• Enterprise AI: $21 million across six deals
• Healthtech: $9 million
• Early-stage activity: 22 of the 27 deals were pre-seed, seed or Series A, raising a combined $38 million

The month also saw a return of large late-stage rounds. Mobility leader Moove's $250 million round, together with fintech company Fasset's Series C, pushed combined Series C raises to $318 million. Despite these headline transactions, most of the deal count remained at earlier stages — a pattern that exposes a structural challenge: capital is available in MENA but concentrated among a small set of companies that have already achieved significant scale.

Gender disparities were stark. Male-founded startups captured $361 million — more than 96% of the total capital raised in August. Female-founded startups secured $8.5 million across two deals, while mixed-gender founding teams raised $5.5 million through three transactions, illustrating the persistent funding gap between male and female founders in the region.

For North African founders, the July-to-August contrast is pronounced. Long-established markets such as Egypt recorded zero deals in August, and Morocco and Tunisia were absent from the monthly rankings. Observers warn that one quiet month should not be read as definitive, but the data raises questions about access to late-stage capital, investor networks and the infrastructure required to scale regionally.

"The August results are therefore better read as a warning sign than as evidence of a definitive decline," the report adds, emphasizing that funding flows can swing sharply when a single mega-deal dominates totals.

Outlook: the September and subsequent months will be closely watched to see whether North African startups return to funding tables or whether Gulf ecosystems — buoyed by large rounds in Abu Dhabi, Dubai and Riyadh — continue to pull further ahead. The critical test for Morocco, Egypt and Tunisia will be attracting a larger share of the late-stage capital that transforms promising local ventures into regional players.