The Badir Fund for Developing SMEs, a special account managed by the Arab Fund for Economic and Social Development, has announced a significant investment in Middle East Venture Fund IV (MEVF IV). This strategic move aims to channel crucial equity capital into technology startups, addressing a persistent financing gap and accelerating innovation throughout the Arab world.
Bridging A Critical Funding Gap
Small and medium-sized enterprises (SMEs) are the cornerstone of Arab economies, constituting over 90% of all businesses and serving as a primary driver for job creation and economic growth. Despite their vital role, many SMEs struggle to secure traditional bank financing due to challenges such as limited collateral, insufficient credit histories, and difficulties in engaging with conventional lenders. This investment directly targets this gap by providing an alternative and essential funding pathway.
A Partnership To Scale High-Growth Tech
The new fund, MEVF IV, is managed by Middle East Venture Partners (MEVP), a leading venture capital firm in the MENA region with a proven track record of scaling technology companies. MEVF IV will focus on investing in early and growth-stage technology startups with high potential, aiming to build pioneering platforms that can generate a tangible and sustainable economic impact.
MEVP’s portfolio includes notable successes like Anghami, the first Arab technology company to list on the NASDAQ exchange, and Nayla, a fintech platform that has been instrumental in transforming financial services for SMEs in Saudi Arabia.
Empowering The Backbone Of Arab Economies
The Badir Fund’s mission is to empower SMEs by enhancing their access to both financial and non-financial services essential for their expansion. This fosters greater competitiveness, supports the creation of quality employment, and promotes sustainable, private sector-led economic development. This partnership with MEVP reflects a shared vision to provide startups with venture capital, technical support, and market access, unlocking new opportunities for growth across the region.
About The Badir Fund for Developing SMEs
The Badir Fund for Developing SMEs, established and managed by the Arab Fund for Economic and Social Development since 2009, provides a comprehensive range of support instruments, including direct and indirect loans, technical assistance, and grants, aimed at enhancing the sustainability and competitiveness of SMEs. Since its inception, the Badir Fund has extended USD 1.5 billion in loans, in addition to USD 3.5 million in grants, in support of SMEs across the Arab region.
About Middle East Venture Partners (MEVP)
Middle East Venture Partners (MEVP) is one of the leading venture capital firms in the Middle East and North Africa. The firm currently manages four regional technology-focused funds, with assets under management exceeding USD 300 million, alongside co-investments totalling approximately USD 2 billion. Since its inception, MEVP’s team—comprising more than 20 investment professionals—has invested in over 70 companies across the region, contributing to the advancement of innovation and the growth of high-potential technology enterprises.
Source: Zawya
