According to the newly released Global Startup Ecosystem Report 2025 by Startup Genome, Riyadh has achieved the most substantial leap among all MENA ecosystems, ascending from the #51–60 range in 2024 to the #21–30 bracket this year in the Top 100 Emerging Ecosystems ranking. This marks a pivotal milestone in the Kingdom’s innovation landscape, driven by high-value exits exceeding $50 million, most notably, Rasan’s $1.1 billion exit.
Riyadh now ranks as the 3rd largest startup ecosystem in the MENA region, outperforming many regional peers across key indicators. It ranks:
#2 in Ecosystem Performance (based on the number of exits, ecosystem value, and startup success),
#3 in Ecosystem Funding (factoring in early-stage funding volume, investor experience, and capital activity).
Key Metrics Behind Riyadh’s Rise:
Ecosystem Value: $10B (Global Avg. $20.4B)
Total VC Funding: $3.6B (Global Avg. $5.2B)
Exit Amount: $4.8B (Global Avg. $8B)
Exit Count: 20 (Global Avg. 86)
Time to Exit: 7.8 years (Global Avg. 11.2 years)
Number of Active Unicorns: 3 (Global Avg. 4)
The report attributes Riyadh’s rapid ecosystem advancement to a blend of policy reform, strategic institutional coordination, and capital market maturity.
What’s Driving the Momentum?
Regulatory Enablement: Pro-innovation policies, including full foreign ownership and streamlined business licensing.
Public-Private Synergy: Collaborative alignment between government entities and private sector stakeholders.
Institutional Infrastructure: Active support from entities such as the National Entrepreneurship Committee and SVCPEA.
Global Integration: A growing presence of regional headquarters and cross-border partnerships.
Since 2018, Riyadh has attracted over $2.6 billion in venture capital, positioning itself not just as an emerging hub, but as a core market for innovation, investment, and global startup expansion.
