Supply chains and talent to define next phase of venture capital in the UAE

Supply chains and talent will shape the next phase of venture capital in the UAE, industry figures say, as venture funding in the Emirates rose 47 per cent year‑on‑year to $419 million in the first quarter of 2026. Noor Sweid, founder of Dubai‑based Global Ventures, identified supply‑chain transformation driven by artificial intelligence and other emerging technologies as a primary investment opportunity, while also pointing to the UAE's founder‑friendly regulations and infrastructure as magnets for start‑up talent and capital.

"Supply chains started to be disrupted a lot with Covid ... and the region's always been leapfrogging," Sweid said during the launch of a report that charts the UAE's venture capital journey over the past decade. She added that "talent and opportunity are what attracts capital, and that will continue to accelerate."

Global Ventures, which has produced research on the role of start‑ups in supply‑chain innovation, found in a 2023 study that entrepreneurs had only been "scratching the surface" of how start‑ups can reshape manufacturing, fourth‑party logistics and localisation. Sweid argued those gaps represent a sizeable addressable market for investors as the region applies AI and automation to streamline procurement, production and distribution networks.

Venture capitalists and government officials say the UAE’s business environment is supporting that shift. The government recently extended corporate tax relief for small businesses until 2029, a move aimed at helping entrepreneurs weather regional challenges and global headwinds. Abdulla bin Touq, UAE Minister of Economy and Tourism, said in the Global Ventures report that "regional geopolitical developments ... sent ripples through global and regional markets ... moments like these offer an opportunity to reflect on our foundations and assess our resilience. For the venture system in the UAE, this period has underscored the depth of what the region has built."

Investment activity is led by both local and international players. The biggest venture capital providers in the UAE include Beco Capital, ADQ‑backed Further Ventures, Middle East Venture Partners and sovereign wealth fund Mubadala. Organisations that provide start‑up support include Abu Dhabi Startups, Hub71, Dubai Future Accelerators, Dubai SME, the Dubai Future District Fund and Dubai Internet City's in5.

• Beco Capital
• Further Ventures (ADQ‑backed)
• Middle East Venture Partners
• Mubadala
• Start‑up support: Abu Dhabi Startups, Hub71, Dubai Future Accelerators, Dubai SME, Dubai Future District Fund, in5

Sweid said the trajectory for venture funding remains positive despite regional conflict, noting that "venture capital is expected to remain strong amid, and well beyond, the conflict." She highlighted that the end of the Iran war — should it occur — would further open investment flows into supply‑chain opportunities across the Middle East.

Looking ahead, industry leaders expect continued inflows from international investors, sustained government incentives and a growing pool of start‑up talent to support the sector. With small and medium enterprises making up more than 90 per cent of businesses in the UAE, the convergence of regulation, capital and technology could accelerate deals in logistics, manufacturing and related verticals as venture funds seek outsized returns from next‑generation supply‑chain solutions.