OMAR SATI I MAN­AG­ING DI­REC­TOR I DASH VEN­TURES AB­DU­LAZIZ AL LOUGHANI I MAN­AG­ING PART­NER I FAITH CAPTIAL NAMEK ZU'BI I MAN­AG­ING PART­NER I SIL­I­CON BADIA

Ven­ture Cap­i­tal as an as­set class is still in its in­fancy; the as­set class hasn’t yet at­tracted a lot of fidu­ciary money, as the base is quite low (grow­ing pos­i­tively though), rel­a­tive to other de­vel­oped mar­kets (~$1B AUM com­pared to ~$70B of AUM in the M

Arabnet - The Quarterly - - Entrepreneurship -

From where we stand to­day, the re­gional VC scene ap­pears to be self-steered to­wards growth due to the in­crease in the num­ber of en­tre­pre­neur­ial ini­tia­tives on one hand, and the re­shap­ing tak­ing place in in­vest­ment mind­set on the other. Govern­ments, now tak­ing a more ac­tive role in em­pow­er­ing the re­gional startup sec­tor, is an­other game changer for VC in­dus­try: we be­lieve the in­di­rect ef­fect of in­creas­ing the level of com­fort, by tak­ing a stake in the game, is also cru­cial. Ear­lier in 2016 the Saudi Gov­ern­ment pledged over $1.2B to sup­port SMES and star­tups through its Ri­aydh Taqnia fund and PIF (Pub­lic In­vest­ment Fund) while the Cen­tral Bank of Jor­dan, in col­lab­o­ra­tion with the World Bank, has pledged $100M to sup­port over 200 in­no­va­tive start-ups from across the coun­try. All the above be­ing said, it is very im­por­tant to take the re­gion’s geo-po­lit­i­cal sit­u­a­tion into con­sid­er­a­tion, which has curbed po­ten­tial growth on sev­eral oc­ca­sions by lim­it­ing the sup­ply of in­ter­na­tional funds into the re­gional VC and startup scene.

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