Private equity report reveals $27.6bn raised between 2020-2024

The private equity market in the Middle East and North Africa (MENA) region has shown strong growth, with the latest report revealing that a total of $28 billion was raised between 2020 and 2024. According to Farah El Nahlawi, Research Lead at MAGNiTT, the 5-year overview of the private equity market in MENA indicated that there were 356 aggregate private equity deal transactions during this period, with a 14% compound annual growth rate (CAGR). The peak years in terms of private equity performance were 2022, with a high deal count of 97, and 2023, with $8.1 billion in disclosed deal value. The United Arab Emirates (UAE) emerged as the most active country in the region, accounting for 37% of the total deal count and $13.5 billion in disclosed deal value over the 5-year period. Egypt and Morocco also saw significant private equity activity, capturing 11% and 9% of the total MENA region deal count, respectively. Egypt secured $2.5 billion in investment value during the same period. The outlook for the private equity market in MENA in 2025 looks positive, with an expected uptick in deal count and investment value due to favorable market conditions like declining interest rates and improving investment cycles. Despite global uncertainties and shifts in funding, including discussions around reducing funding in the U.S. and Europe, the impact on deal flows into the MENA region remains uncertain. International investors are reevaluating their investment options, leading to potential reshuffling of investment portfolios. However, the specific impact on the numbers will depend on individual investment strategies and market sentiments.