Until recently, many investors have not thought about MENA region as the next attractive destination for start-up investments. However, during the last couple of years, things have changed rapidly.
Although there is still a shortage of tech talents, the local entrepreneurs are young, ambitious, and have high targets. Despite the insufficient technical infrastructure like cell coverage, WiFi, data in some parts of the region, the MENA start-ups may grow relying on their own limited experience.
In addition to that, we have witnessed more events and organizations such as StartupYourLife in Morocco, or the RiseUp summit in Egypt entering the region. Saudi Arabia and UAE have also been working hard to increase the start-up culture among the Arab youth. Many MENA countries already launched some government-backed incubators to assist the young entrepreneurs.
Next to that, some countries in the region already loosed up some legal restraints. For instance, Egypt recently passed its first bankruptcy law. Oman has significantly decreased the number of days to start a business from 40 to 10.
Last but not at least, the role of the local sovereign funds is becoming more vital for young start-ups. Funds from Kuwait, Saudi Arabia, and Oman have already been investing in Silicon Valley start-ups. It is just a matter of time for them to turn MENA into a local start-up leader.
Source: The Next Web