Sovereign wealth funds (SWFs) based in the Middle East have emerged as the top dealmakers in the first half of 2024.
According to data platform Global SWF, Mena wealth funds invested US$38.2 billion in 58 deals.
Furthermore, 27 of these deals were worth more than $1 billion.
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Spending was especially prolific among the so-called ‘Oil Five’ – PIF in Saudi Arabia, Qatar’s QIA and three Abu Dhabi-based funds ADIA, ADQ and Mubadala – thanks to a boost in oil revenues.
However, even these funds have bene subject to sustainability pressures, which partly explains why investments in green assets have continued to exceed the money put into ‘black’ assets such as oil and gas and mining – a trend that has persisted since 2021.
This is despite the $5 billion deal by ADQ-backed Lunate to buy a 40% stake in Abu Dhabi oil company Adnoc.
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The SWF data comes at the same time as the PIF announced a return to profit, posting a $36.8 billion gain after a $15.6 billion loss the previous year.
Revenues doubled from $44 billion in 2022 to $88.3 billion in 2023.