Saudi Venture Capital Company (SVC), in partnership with the Capital Market Authority (CMA) and the Financial Sector Development Program (FSDP), launched a new product for investing in fintech VC funds at the Financial Sector Conference 2023. The product, called the Investment in Fintech VC Funds, is designed to support the growth of the fintech industry in Saudi Arabia and help investors access the country’s burgeoning startup ecosystem.
With an allocation of SAR 300 million from the investment portfolio, the fund will expose investors to a diversified portfolio of high-growth fintech startups across various sectors, including payments, lending, insurance, and wealth management.
The launch of SVC’s new product comes at a time when the fintech industry in Saudi Arabia is experiencing rapid growth. According to the Saudi Press Agency (SPA), the total value of VC investments in the country’s fintech sector reached $239 million in 2021. Fintech Saudi also revealed in their annual report last year that the number of operating fintechs nationwide reached 147, more than double that of the year before.
The Financial Sector Conference 2023 where the new product was announced was held on March 15 and 16. It’s an annual event that brings together leaders and experts from the financial industry in Saudi Arabia and the wider MENA region. The conference provides a platform for discussing the latest trends and developments in the financial sector, as well as exploring new investment opportunities and partnerships.
SVC, established in 2018, has already made significant investments in the fintech sector in Saudi Arabia. The firm has invested in several local fintech startups, including Tamara, a buy now, pay later (BNPL) platform, and Raqamyah, a digital lending platform for SMEs.
The launch of its new product is expected to attract more investors to the fintech industry in Saudi Arabia and further accelerate its growth. With the support of SVC, CMA, and FSDP, the country’s fintech startups are well-positioned to continue innovating and expanding their offerings, driving further growth in the industry.