Middle East and North Africa sovereign wealth funds are expected to invest $136 billion across 327 transactions this year, down from $176 billion in 2025 but still their second most active year on record, according to Global SWF.
The forecast comes as the Iran war puts pressure on Gulf government finances. Withdrawals from funds including the Kuwait Investment Authority and Qatar Investment Authority could lead to the first year-on-year decline in the region’s combined assets under management in more than a decade, the company said.
MENA sovereign investors deployed more than $100 billion across nearly 250 deals in the first nine months of the year, representing about 40% of global sovereign investment. However, the report described this as a three-year low for the region in both absolute and relative terms. Global SWF expects a recovery by the end of the decade.
Abu Dhabi’s Mubadala was the region’s most active sovereign fund, investing $26.2 billion. It was followed by Saudi Arabia’s Public Investment Fund, Abu Dhabi Investment Authority, L’imad and Qatar Investment Authority.
Domestic economies attracted 20% of investments through September, while the US received nearly half of the capital, followed by China, the UK and Singapore. Technology was the leading target sector, ahead of infrastructure and financial services.
Source: AGBI
