Egypt’s burgeoning startup ecosystem has taken a significant leap forward in early 2025, attracting $228 million in venture capital and debt financing from January through May, according to a new report by the Ministerial Group for Entrepreneurship. The figure marks a 130% increase compared to the same period in 2024, underscoring renewed investor confidence and the impact of ongoing regulatory and structural reforms.
In a statement issued over the weekend, the Ministerial Group for Entrepreneurship detailed that 16 funding deals were finalized in the first five months of the year, 11 of which disclosed their investment values, totaling $156 million. Additional debt financing rounds saw “Nawy” secure $23 million, while FinTech giant “MNT-Halan” attracted $49 million in structured credit.
Speaking on the significance of this momentum, H.E. Dr. Rania A. Al-Mashat, Minister of Planning, Economic Development and International Cooperation—and head of the Ministerial Group for Entrepreneurship—emphasized the government’s unwavering commitment to nurturing the startup landscape.
“These investment figures are a testament to the resilience and dynamism of Egypt’s entrepreneurial ecosystem,” said Dr. Al-Mashat. “The government is determined to foster a fertile environment for startups, not only through financial incentives but by enhancing the overall business climate to attract sustainable venture capital flows.”
Dr. Al-Mashat pointed to recent government measures aimed at facilitating startup growth, including structural economic reforms, legal frameworks tailored for early-stage companies, and tax relief for small enterprises with annual revenues under EGP 20 million. She added that President Abdel Fattah El-Sisi’s administration considers entrepreneurship a national priority in its vision for sustainable and inclusive economic development.
One of the cornerstone initiatives currently under development is the Startup Charter, which aims to streamline procedures, ease regulatory burdens, and provide a unified strategic framework for entrepreneurial activity. “This is a critical component in our mission to integrate Egypt into the global map of innovation-driven economies,” Dr. Al-Mashat noted.
Sectorally, the PropTech industry emerged as the top performer in terms of capital raised, commanding 33% of the total funding pie. Meanwhile, the FinTech sector led in deal volume, accounting for five of the 16 transactions and representing 32% of total investments. The data reflects a robust diversification of Egypt’s startup ecosystem, moving beyond its traditional tech hubs into sectors like property, logistics, and digital finance.
In parallel, the Egyptian market saw notable exit activity, signaling maturity and investor appetite. Among the standout transactions were Dubizzle’s acquisition of Hatla2ee, an online platform for used car trading, and the acquisition of digital payments firm Fatora by MaxAB-Wasoko—a strategic move combining North African and Sub-Saharan tech capabilities.
The Ministerial Group for Entrepreneurship, established to align Egypt’s entrepreneurial vision with global standards, has become a focal point for government-led startup support. By coordinating across ministries, formulating conducive policy, and launching national-scale initiatives, the Group is charting a path for Egypt to become a regional innovation leader.
