SIDELINES
FORBES MIDDLE EAST
6
The New Normal After much speculation, many of us based in the U.A.E. are beginning 2022 slightly confused and constantly checking our calendars as we finally transition to a Monday-Friday working week. The country’s landmark decision to move away from the Sunday-Thursday regional standard and align with global norms sets out a very clear message that the U.A.E. is now firmly playing on an international stage in regard to its economy and business landscape. Personally, I’m quite excited to see what other changes this year brings, both for the newly-50 U.A.E. and for the rest of the GCC. A little change often creates a lot of good energy and, unlike 2020, last year offered some relief for many sectors across economies worldwide. Vaccine rollouts, oil price hikes, and the easing of lockdowns all contributed to a gradual recovery, although not a full one. Up to November 2021, global outlooks for 2022 seemed very optimistic, before the emergence of new COVID19 variants resurfaced fears of more disturbances to come. But as we begin 2022, we at Forbes Middle are remaining positive, and celebrating innovation and investment. In our first issue of the year, we’re celebrating the Middle East’s most-funded startups as they endeavour to compete and break new records. In 2021, more startups than ever hit a $1 billion valuation, with 136 new unicorns born globally in Q2 2021 alone. Bus-booking app Swvl and cloud-kitchen platform Kitopi were the two newcomers to the elite club from the Middle East. Last year also saw the Middle East compete with international startup networks. Startup Genome reported that four MENA hubs were among the world’s top 100 emerging ecosystems in 2021: Dubai, Cairo, Riyadh, and Abu Dhabi. Research indicates that the total number of latestage funding rounds in MENA and the total amount of late-stage funding rounds have almost doubled in the last five years. Investment into MENA-based startups hit $1.2 billion in the first half of 2021—a 63% increase compared to the same period in 2020— according to MAGNiTT. And beyond the region’s accelerators, wealth funds, family offices, and angel backers, global investors are knocking and betting on future growth. For example, Japan’s SoftBank Vision Fund 2 made its first-ever investment into a U.A.E.-based company with Kitopi, while South Korea’s IMM Investment Corp backed agri-tech Pure Harvest Smart Farms. Combined, the top 50 most-funded startups in MENA have raised nearly $3 billion in total funding, with the top 10 alone amassing $1.9 billion. These 50 young businesses not only weathered the headwinds from the pandemic, but managed to grow throughout the storm. Of course, this is largely thanks to their technology-based business models, but let’s also give some kudos for the vision and resistance of their cofounders. I hope you enjoy learning more about these entrepreneurs and, as you do, remember that even the most challenging times can create opportunities. Happy reading and happy new year. —Claudine Coletti, Managing Editor
F O R B E S M I D D L E E A S T.C O M
JANUARY 2022
