Leading the pack: UAE start-ups account for 88% of deal value of region

While most sectors have witnessed unprecedented growth in start-ups, fintech, cybersecurity, and blockchain are the drivers of a robust start-up ecosystem

  
Image used for illustrative purpose. Young entrepreneurs work on their laptops at the Amman-based Oasis 500, a seed investment firm which finances start-up firms in the region's information technology sector, November 2, 2011. REUTERS/Muhammad Hamed

Image used for illustrative purpose. Young entrepreneurs work on their laptops at the Amman-based Oasis 500, a seed investment firm which finances start-up firms in the region's information technology sector, November 2, 2011. REUTERS/Muhammad Hamed

REUTERS/Muhammad Hamed

DUBAI - UAE start-ups have secured US$31.36 million in investments which account for 88 percent of the whole deal value of the region.

Local Services, Ecommerce and Financial Services are the top three industries accounting for 44 percent of the entire deal count.

In addition, logistics (9.3 percent), software (7.1 percent), media (4.6 percent), education (4.6 percent) and transportation (4.6 percent) are other industries that were a part of the deal.

These statistics were announced as Dubai gets close to host Annual Investment Meeting, AIM, Startup, which will be held from 8th to 10th April.

"The start-up ecosystem is fast changing. Just a few years ago, start-ups seemed like the purview of a niche circle, but fast forward today, and start-ups are hitting the mainstream business culture, emerging at an unprecedented rate," said Dawood Al Shezawi, Chairman of the Organising Committee of AIM Startup.

AIM Startup is an initiative of the UAE Ministry of Economy, that aims to connect promising start-ups with investors and business partners from all around the world. It is set in the heart of UAE's Annual Investment Meeting and will serve as an ideal platform for start-up companies looking to raise capital, expand into new markets and forge meaningful business relationships with major investors, business leaders, representatives of international institutions and government entities.

While most sectors have witnessed unprecedented growth in start-ups, fintech, cybersecurity, and blockchain are the drivers of a robust start-up ecosystem.

"Disruptive technologies as robotics, virtual reality and internet of things are already transforming the start-up landscape, and we are confident that coming years will witness greater results, considering the impactful growth tech start-ups have made," Al Shezawi added.

While the global economy expected to grow three percent per annum and double by 2038 to $150 trillion per year, it is anticipated that the economy will experience a robust growth if technology start-ups maintain the exponential pace.

At the upcoming AIM Startup, which will be host to over 20,000 visitors, experts will offer investors and entrepreneurs continued support of the public and private sector to provide much needed tools in learning and networking platforms. This year, over 500 promising start-ups will convene under one roof and will be given the opportunity to demonstrate their ground-breaking solutions to a global audience.

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