Kuwait sees drop in number of transactions in emerging firms
KUWAIT CITY, Aug 8: The number of investment deals in emerging companies in the Middle East and North Africa region dropped by 16% in 2018, and the total number of new investors has been in a steady retreat, reports Al-Qabas daily.
Kuwait has witnessed a decline in the number of transactions in emerging companies from 8 deals in 2017 to 5 in 2018.
The report said the UAE has continued to dominate the investment market in emerging companies as an attractive center for investors in this area.
The total number of transactions in emerging companies in the Middle East was 255 in 2018, down 16% from 2017, but the total value of transactions rose 1% last year to 673.5 million dollars, he said.
“The UAE has dominated the region with 45 new deals in 2018 compared to 64 in 2017. Bahrain and Oman have seen a slight recovery, with 22 transactions compared to 16 in 2017, while Manama recorded 17 transactions compared to 7 in 2017.
The UAE has the largest share of investors in emerging companies in the Middle East (31%), while Saudi Arabia, Egypt and Lebanon together account for 40%.
Sources pointed out that only 14% of the emerging companies in the Middle East have been closed in the past six years, attributing to the continued spread of public and private sector initiatives that support and finance start-ups.