The Dubai International Financial Centre (DIFC) has launched a $10 million fund focused on local fintech start-ups.
Two Mena-based investment managers, Wamda Capital and Middle East Ventures Partners (MEVP), have been appointed to manage the fund.
Statistics show that fintech start-ups in the region have received little in terms of private funding over the last decade but this is expected to change markedly over the next ten years. According to Mena Research Partners, fintechs have been given just $150 million in private investment since 2009, but they are expected to attract more than $2 billion in funding by 2029.
In addition the number of fintechs in the region is expected to double over the same period, from 130 to 260.
Wamda Capital partner Khaled Talhouni said that the fund will help to develop “a vibrant fintech ecosystem” to serve the wider region by investing in local startups from incubation to growth stage. “This partnership to launch a dedicated fintech fund is the first step towards catalysing innovation in this sector,” he said.
©2019 funds global mena