Abu Dhabi’s startup ecosystem ranked fastest growing in MENA

The emirate was also recognized for its strengths in the FinTech, AgTech and New Food, and ClimateTech sectors

Abu Dhabi has emerged as the fastest-growing startup ecosystem in the Middle East and North Africa (MENA) region, according to the 2024 Global Startup Ecosystem Report (GSER) by Startup Genome and the Global Entrepreneurship Network. The report, launched during London Tech Week, found that Abu Dhabi’s ecosystem value grew by 28 percent between July 2021 and December 2023, compared to the previous period.

The GSER, which analyzes data from over 4.5 million companies across more than 300 entrepreneurial innovation ecosystems, provides insights and rankings on the top global and emerging startup ecosystems. Abu Dhabi’s ranking jumped 15 spots compared to the previous year, landing in the 61-70 group, with $284 million in total early-stage funding and $1.06 billion in total Venture Capital (VC) funding from 2019 to 2023.

Abu Dhabi’s ecosystem strengths

The emirate was also ranked second in the MENA region for ecosystem performance, fifth for funding, and fifth for talent and experience. Additionally, Abu Dhabi was recognized for its strengths in the FinTech, AgTech and New Food, and ClimateTech sectors, as well as the city’s strategic location and incentives, such as the Golden Visa and 100 percent foreign ownership, which have attracted global startups to establish their headquarters in the Abu Dhabi Global Market (ADGM).

Read more: Sharjah rises to 4th in GCC region, 7th in MENA in 2024 Global Startup Ecosystem Rankings

Key ecosystem players driving growth

The report highlights the key ecosystem players in Abu Dhabi, including Mubadala Investment Company, ADQ, the Abu Dhabi Investment Office (ADIO), startAD, and the Abu Dhabi Department of Economic Development (ADDED), who have contributed to the creation of a favorable operating and regulatory environment for startups. These collaborations have facilitated the soft-landing of startups from around the world, providing them with access to capital and commercial opportunities. As a result, Abu Dhabi’s Hub71 community now hosts more than 315 startups that have collectively raised $1.5 billion.

Startup Genome’s insights and guidance

The GSER is the product of over a decade of independent research and policy work by Startup Genome, providing insights and guidance to public and private leaders on fostering thriving startup communities, which are recognized as the primary drivers of job creation and economic growth.

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