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Egyptian startups attract $228 million in first five months of 2025

Businessmen Team news 01 June 2025 02:37 PM
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Egyptian startups attract $228 million in first five months of 2025

The Ministerial Group for Entrepreneurship has announced that Egypt's startup ecosystem experienced remarkable growth in attracting both venture capital and debt financing during the first five months of the current year. This period saw a substantial $228 million in investments, based on tracked deals since the start of the year.

A detailed statement from the Ministerial Group for Entrepreneurship revealed that a total of 16 deals were executed between January and May 2025. Among these, 11 deals publicly disclosed their investment sizes, collectively amounting to $156 million. This represents an impressive 130% increase in investments compared to the same period in 2024. Additionally, two notable companies, "Nawy" and "MNT-Halan," successfully secured significant debt financing of $23 million and $49 million respectively.

Dr. Rania Al-Mashat, Minister of Planning and Economic Development, International Cooperation, and head of the Ministerial Group for Entrepreneurship, affirmed that the continuous activity in Egypt's startup market reflects the government's ongoing efforts to improve the investment climate and business environment. These efforts, coupled with structural reforms ensuring macroeconomic stability, aim to make Egypt more conducive and attractive for various types of companies.

She emphasized that startups and the broader investment climate receive paramount attention from the Egyptian state, led by President Abdel Fattah El-Sisi and various relevant entities. Dr. Al-Mashat added that the Ministerial Group for Entrepreneurship is actively finalizing the Startup Charter, alongside financing initiatives and facilitations designed to attract venture capital investments.

Dr. Al-Mashat highlighted that the Egyptian government has taken significant steps to empower startups and enhance their ability to attract larger investments, notably through tax facilitations for companies with revenues below EGP 20 million. She explained that the Ministerial Group for Entrepreneurship adopts a comprehensive and integrated approach to support Egyptian youth in this field. The Group's primary goal is to bolster startups and the entrepreneurial environment, fostering sustainable, accelerated economic growth rooted in competitiveness and knowledge, aligning with the state's plan to position Egypt on the global entrepreneurship map.

In a related context, Egypt's startup market has recently seen several exit and acquisition deals, most notably Dubizzle's acquisition of the online car trading platform "Hatla2ee," and "Maxab - Wasoko's" acquisition of "Fatura." The PropTech (Real Estate Technology) sector attracted the largest volume of venture capital investment, accounting for 33% of total investments. Meanwhile, the FinTech (Financial Technology) sector led in the number of deals with five transactions, whose announced value represented 32% of the total investment volume during the same period.

The government notably launched the Ministerial Group for Entrepreneurship with a clear mandate: to bolster the entrepreneurial environment and empower startups. This involves initiating new programs and proposals, offering direct support to startups, streamlining efforts across government bodies, and developing robust policies to champion entrepreneurship.