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00:00 When we talk about the bold investment or venture capital in the MENA area, we must observe how the performance in the Gulf area was in 2023.
00:14 It has greatly declined, but it has risen, for example, in Morocco.
00:18 Let's take a look at the investments in this sector and how the performance in it has shown for the past year.
00:25 The start is with Saudi Arabia, which has been able to launch the project and its bold investments have risen by nearly 33%.
00:34 It is the highest level in its history and has reached the $1.38 billion.
00:41 The UAE has had bold investments of 45% to reach $691 million.
00:50 Egypt has fallen by 30%. Morocco, as I mentioned, has seen a very strong change, rising by 193%, although it was less valuable than Saudi Arabia.
01:01 It has reached $81 million.
01:04 Bahrain has changed significantly and has fallen by 82% to reach $44 million.
01:11 But what are the factors behind the decline in bold investments or venture capital in the Middle East and North Africa?
01:19 We have several factors that led to this decline, especially in the countries we mentioned.
01:24 But there are perhaps other factors that have led to its rise in other countries.
01:29 The value of bold investments, if we compare it to the year 2000, was around $3.47 billion.
01:39 It has become $2.67 billion.
01:42 Saudi Arabia has not given nearly half of it.
01:45 It has changed by 23% to a decline.
01:48 The reasons for the decline are the increase in interest rates, and therefore the cost of financing and entering bold investments was high.
01:55 But countries that were able to invest in sectors far from the cost of financing or were able to provide financing, this is a good benefit.
02:04 It continued to rise.
02:06 We have fears of the slowdown of the global economy, which is still the same, and Muntadha Davos has confirmed that it will slow down and perhaps decline until 2024.
02:16 Therefore, these investments will delay or delay some of its projects.
02:21 As for the sectors that were generally invested in venture capital in 2023, financial technology or fintech was around 48%.
02:34 Electronic commerce was around 19%.
02:37 Health care was also around 3%.
02:41 Education technology was 3%, and other sectors were distributed around 27%.
02:46 So, the performance is similar in North Africa and the Middle East, but there are still countries that achieve high levels of bold investments.