Start-ups enrolled with in5, the incubator under Dubai’s Tecom Group, have raised more than Dh2.4 billion in funding from its inception through to the end of 2022. FinTech companies dominated funding rounds last year, accounting for more than half of the total investments received, the incubator said on Thursday.
The incubator welcomed 160 start-ups in 2022, an annual growth of 31 per cent, bringing the total number of companies under its fold to more than 750, it said.
The number of start-ups led by women more than doubled last year, with more than half in the technology field, in5 said.
“The days of lone-wolf entrepreneurship are gone,” Majed Al Suwaidi, senior vice president of Dubai Media City, one of the business districts under Tecom said.
“Dubai has created a dynamic community where founders can connect with like-minded individuals, participate in global business ecosystems, and contribute to economic growth and innovation.”
The UAE’s start-up scene is an important pillar of the country’s diversification drive as it prepares for the economy of the future, powered by digitalisation.
Several programmes have been launched to boost the sector, including the updated Entrepreneurial Nation programme that seeks to develop more than 8,000 small and medium enterprises and start-ups by 2030, and Future 100, aimed at supporting and honouring the top 100 start-ups that will have a significant impact on the economy of the Emirates.
The strength of the UAE’s FinTech sector is expected to continue, which would make it one of the fastest growing in the Mena region, in5 said.
In a trend that began in 2021, the local FinTech sector has experienced grown substantially.
FinTech led in terms of funding ($2.25 billion) and number of deals (351) in the Middle East, Africa, Pakistan and Turkey region in 2022, start-up platform Magnitt reported last month.
The Tecom Group’s portfolio comprises 10 districts, including Dubai Internet City, from which successful home-grown start-ups such as “super app” Careem and e-commerce platform Souq.com emerged.
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