UAE Tech Startup Funding Plunges 65% in 2023
To date, the number of investment rounds in 2023 has decreased by 21 percent when compared to the same period in 2022.
Funding for tech firms in the UAE shed by 65 percent this year, Arabian Business reported, citing an analysis by the market intelligence platform Tracxn.[1]
Financing for IT companies in the UAE in 2022 was almost unchanged from 2021, however in 2023 there was a notable decline in financing.
This industry has received $223 million in seed funding thus far in 2023, which is 7 percent less than the $241 million raised in 2022.
The three highest-performing subsectors in this industry in 2023 were FinTech, Environment Tech, and Blockchain Technology.
In addition, the UAE tech space has received $638 million in funding to date, a decrease of 65 percent from the $1.83 billion raised in the same period in 2022, making 2023 the least financed year since 2020, according to Tracxn’s Geo Annual Report: UAE Tech 2023
To date, the number of investment rounds in 2023 has decreased by 21 percent when compared to the same period in 2022.