Startup Investments Reach $68.95 Million as Qatar Leads Fintech

Startup investments across the Middle East, Africa and Gulf totalled $68.95 million in August, a figure dominated by a single Qatar-led fintech round and representing a regional decline of nearly $3.2 billion year‑on‑year. The monthly activity comprised 12 deals — 11 newly announced transactions — spanning six sectors: fintech, artificial intelligence, healthcare, edtech, e‑commerce and gaming.

"Total new investments exceeded $68.95 million across 12 deals involving startups, including 11 newly announced transactions," the monthly investment report stated.

The month was shaped decisively by Yuno’s $45 million Series B, a fintech transaction led by Global PayTech Ventures with participation from Andreessen Horowitz, Tiger Global, QuantumLight Capital, Monashees, Kaszek and Endeavor Catalyst. That single round accounted for 65.26% of the month’s total investment value and propelled Qatar to the top of the country rankings for August.

Sector and country breakdown

After fintech, artificial intelligence was the second-largest sector, attracting $8.75 million across five startups — most of them based in the UAE — and representing 12.7% of the monthly total. Healthcare ranked third with $7 million invested in a UAE-based company (10.15% of the month’s activity). Edtech accounted for $3 million invested in Saudi Arabia through AILA, while e‑commerce and gaming secured $1.7 million and $1.45 million respectively.

Country-level activity beyond Qatar’s headline deal showed the UAE in second place with an estimated $14.25 million across six transactions (20.66% of the month’s total), including deals in AI, healthcare and fintech. Saudi Arabia recorded three deals totalling $6.2 million (about 9% of the month), notably accounting for the month’s entire edtech allocation via AILA’s $3 million pre‑seed round. Jordan’s activity focused on gaming, led by Arab Therapy’s $1.45 million investment.

Notable deals and strategic investors

• Yuno — $45 million Series B led by Global PayTech Ventures; backers included Andreessen Horowitz, Tiger Global, QuantumLight Capital, Monashees, Kaszek and Endeavor Catalyst.
• Longivium — $7 million funding round for the UAE‑based healthcare company (investors not disclosed).
• HeyBreez — $2.5 million Seed round led by Lunara Partners, with Jabbar Group, DASH Ventures and founders and angels participating.
• Tax Star — $1.75 million Seed round for the UAE AI‑powered tax software provider.
• Remedium Network — $1.5 million Pre‑Seed led by Kaltaire Investments for technology and sustainability expansion in Saudi Arabia.
• Raff — $1.7 million Pre‑Seed led by Vision Ventures with participation from 500 Global, Palm VC and Ajyal Group to support Gulf expansion.
• AILA — $3 million Pre‑Seed led by Rua Growth Fund with Jo Academy, Bunat VC and Fikr Ventures to build AI‑powered educational solutions in Saudi Arabia.
• Arab Therapy — $2 million Pre‑Series A led by Jordanian Ventures with Anara Impact Fund and Value Makers Studio for regional expansion.
• Majestic Mind Games — $1.45 million led by Mirak Capital and Impact46 to develop gaming and digital content in Saudi Arabia.
• Cobi — $1 million Pre‑Seed led by Lunara Partners, with Plug and Play, Annex Investments and Spring participating.
• XSquare — UAE B2B payments Pre‑Seed led by Raed Ventures (amount undisclosed), targeting regional expansion including Saudi Arabia.
• Raym — Seed round of more than $2 million led by Sidra Investment with Athlah Investment and Unity Invest Partners.

Despite the concentrated headline deal, the monthly report illustrates continuing investor interest across AI, healthtech and edtech in the Gulf region and neighbouring markets. The distribution of rounds — from pre‑seed to Series B — suggests activity remains diversified by stage even as total monthly value contracted versus the previous year. Market participants will be watching whether follow‑on investing resumes in the latter part of the year and whether larger institutional players repeat the kind of cross‑regional syndication seen in Yuno’s round.