As the year 2025 approaches its conclusion, the technology landscape within the GCC is witnessing unprecedented levels of investment activity. This surge is characterized by a strategic shift, with capital being allocated to fewer, larger, and more established companies, particularly in the fields of fintech and AI-related infrastructure.
Significant financing rounds have enabled local firms to tap into global capital markets, moving discussions around IPO readiness and private credit from theoretical concepts to actionable strategies. Notably, governments in the region are increasingly incorporating AI into their core public services and economic frameworks, marking a transition from experimentation to practical implementation.
The emergence of AI-native startups is anticipated to redefine the innovation landscape in 2026, as these companies leverage AI as their foundational element. Concurrently, a liquidity supercycle is driving higher valuations across various sectors, especially in AI and deep tech, with regional capital markets in Saudi Arabia and the UAE vying for dominance in IPO opportunities.