MENA Startups Raise Over $279 Million in February 2026 as UAE and Saudi Arabia Lead Regional Investment
The startup ecosystem in the Middle East and North Africa witnessed strong investment activity in February 2026, with total funding raised by startups surpassing $279 million, highlighting the continued flow of capital into innovation and entrepreneurship across the region. These investments were distributed across eight Arab countries, providing a clear map of the most attractive markets for startup funding in recent months, while the Gulf region continued to dominate the regional investment landscape.
The United Arab Emirates ranked first among the region’s most attractive markets for startup investment during the month. Startups in the UAE secured $121.1 million, representing approximately 43.4% of the total investments recorded in the region. This strong performance reflects the country’s growing status as a leading regional hub for technology and entrepreneurship, supported by a flexible regulatory environment and advanced digital infrastructure that attracts both global entrepreneurs and investors.
The Saudi Arabia followed in second place with $86.8 million in startup investments, accounting for 31.1% of total regional funding. The figure underscores the sustained momentum in the Kingdom’s startup sector, driven by innovation and entrepreneurship initiatives aligned with the objectives of Saudi Vision 2030, which aims to strengthen the digital economy and expand the base of high-growth technology companies.
In third place, Egypt recorded a notable presence among the region’s top investment destinations, with startups attracting $24 million, representing around 8.6% of the total funding across the region. This performance reinforces Egypt’s position as one of the largest entrepreneurship hubs in North Africa, benefiting from its large domestic market and rising demand for digital and technology-driven solutions.
Morocco ranked fourth with startup investments totaling $19.3 million, accounting for 6.9% of the regional total. The figure reflects the accelerating growth of the country’s startup ecosystem, supported by increasing interest in innovation, fintech, and digital services. It was followed by Oman in fifth place, where startups secured $15.1 million, highlighting the growing appeal of the Omani market for investors seeking new opportunities in emerging technology sectors.
Despite ongoing economic challenges, Lebanon maintained its presence on the regional investment map, with startups raising $6.1 million, demonstrating the resilience of Lebanese entrepreneurs and their ability to continue attracting capital and driving innovation in a complex economic environment.
At the lower end of the ranking, Qatar recorded $3.1 million in startup investments, followed by Bahrain with $2.8 million. While the markets are relatively smaller, the figures indicate ongoing activity in both countries’ startup ecosystems, with a focus on specialized investments in advanced technology sectors.
The distribution of investments in February 2026 highlights the continued dominance of the UAE–Saudi Arabia axis in the regional startup investment landscape. Together, the two countries accounted for about 74.5% of total funding, with investments exceeding $207 million. At the same time, the presence of markets such as Egypt, Morocco, Oman, and Lebanon signals the expansion of innovation across the region and growing investor interest in emerging markets beyond traditional venture capital hubs.