Startups and VCUpdated Yesterday
Saudi startups add debt as equity funding slows.
Saudi startups are turning to debt financing as equity funding slows, adding another source of capital. Asharq Business with Bloomberg reports that venture funding for Saudi startups fell 29% to $1 billion in the first nine months of 2026, amid a change in investor appetite. In a May 6 report, Asharq Business said Saudi venture-capital firms continued to raise and deploy funds despite regional disruption. It described local firms, government-backed funds, family offices and other local institutions as supporting startups and helping fill a gap as international investor participation slowed. That earlier account provides context on the sector’s local support base alongside the current slowdown in funding.
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