We have been saying that 2017 was an extraordinary year for new business in MENA. Small to Medium-sized Enterprises (SMEs) are the backbone of the UAE economy. They contribute around 60% of the GDP and 86% of employment. The UAE wants to grow the share of GDP contributed by 70% in the next few years.
The UAE’S dynamic startup industry has now achieved levels where
investors are investigating verticals in select divisions attractive for
investment, making ready for growth and advancement in the country.
According to
axiom, mobile application development is making fertile ground for UAE’s young, tech savvy
innovators. The UAE has captured 60 percent of the Middle East’s smartphone
mobile apps business. The demand for mobile apps
among the tech-savvy millennials is almost insatiable and that is what's
driving the growth for the app market. As relatively few mobile app development companies Dubai have still not wandered in Dubai and related regions, you will
find a good scope to take over the market.
In 2017 UAE Startups have secured $400 million investment, advancing it
is lead in the MENA area’s startup industry, as per a current report.
Several innovation verticals that are attractive for investment in the
UAE [and for the most part of MENA]. Investors and venture capital firms are
funding more startups in Fintech, E-commerce, Food and beverage, logistics and
transport to capitalize on the growing fame of the startup ecosystem. The UAE
has held the major share (70%) of investments took after by Saudi Arabia and
Lebanon with 9 and 7 per cents, respectively, making the emirate the most
encouraging investment hub in the region.
"We
have developed a one of a kind comprehension of the venture space. The key
sectors distinguished are especially attractive for various reasons. In the
First place, these are large Mena technology sectors with market sizes
evaluated to be in the billions of dollars each. Second, we have assembled a healthy
pipeline and as of now recognized at several potential targets for investment
over every one of those verticals. Third, these are sectors where very
adaptable business models can be built with no need for disruptive technologies
and where we as MEVP can add tangible value to the companies. Opportunities in
these sectors have a clear path to profitability and exit," Walid Hanna said, MEVP founder and
CEO.
E-commerce and fintech remain the most popular enterprises representing
11.9 percent each as per MAGNiTT’s 2017 State of Mena Funding report. The food
and beverage saw the largest increase of 3% in deal flow over 2017, followed by
fintech startups also make up 3 of the 10 biggest investments in 2017-
Paytabs($20 million), Souqalmal ($10 million) and Wahed ($7 million). Logistics and transport also proved
proved big winners with Careem ($150 million), Fetchr ($45 million) and Wego
(12 million).
2017 was a year that saw a mix of mastery of old and new players. 500
Startups turned out to be extremely dynamic subsequent to closing $15M for
their $30M MENA-devoted fund. MEVP, BECO, Raed and Wamda continued being
dynamic throughout the year with Wamda reporting various deals just before the
end of 2017.
MAGNiTT's
founder, Philip Bahoshy, noticed the present year,
much the same as 2017, is also ready to support the growth trend as investment
continues to grow in all phases over the funding cycle.
Saudi Arabia and UAE are the biggest logistics markets in the GCC, with
an expected market size of $55 billion and $30 billion, respectively, according
to a report by Frost & Sullivan. In addition, the addressable road
transportation opportunity measure over the GCC is $24 billion, and this is
where technology in transportation logistics is becoming progressively relevant.
The
UAE-based Truxapp, a startup firm is tending to the deficient logistics and
transportation models to help organizations turn out to be more deft and
responsive towards their customers need. Another firm Yalla Pickup, the
UAE-based mobile app and web-based logistics Services Company, has launched the
next phase of its mobile application, which will be focused towards business
prerequisites.
Mobile app development helps startups to get some business advantages. It
works for as an incredible promotional tool as it retains your customers
instructed about your new contributions and current contributions in actual
time. We are at FuGenX, the leading mobile app development company in Dubai,
offering best app development package that is very affordable.
