Sawari Ventures Plans to Inject $150 Million in Egyptian Startups
In a recent announcement that has set the Egyptian startup ecosystem abuzz, Sawari Ventures, a venture capital firm with a strong focus on the Middle East and North Africa (MENA) region, has unveiled plans to launch a formidable $150 million fund dedicated to supporting the bright minds and innovative projects within Egypt’s burgeoning startup scene. The company, founded in 2010 by a trio of visionary entrepreneurs—Ahmed Alfi, Hany Al Sonbaty, and Wael Amin—has established itself as a pillar in the MENA venture capital landscape, with a portfolio that spans over 30 groundbreaking companies including Swvl, MoneyFellows, Instabug, Si-Ware, and Elves.
Hani Al Sanbati, CEO and co-founder of Sawari Ventures, shared his enthusiasm for the new fund, underscoring the firm’s commitment to a diverse range of sectors expected to drive growth and innovation in Egypt. Among the targeted domains are fintech, education, healthcare, green technology, and deep tech projects. In a landscape ripe with potential, Al Sanbati expressed confidence in the conducive timing for investing in technology startups, asserting that neither the current economic fluctuations nor the initial hurdles faced by startups are deterrents to their projected growth and the investment interests they allure.
Sawari’s ambitious outline projects a ripple effect from its contributions, anticipating that the startups within its fold will garner between $350 million to $500 million in investments over the next five years. Al Sanbati’s vision extends beyond financial metrics; he aspires for Egypt to be recognized as a central investment hub within Africa and the wider region, fostering innovation and entrepreneurship.
Notably, Sawari Ventures has been instrumental in launching approximately 500 startups across the Arab world since its inception. This impressive track record is a testament to its strategic approach, designed to catalyze investment flows into the startup ecosystem and prime companies for future funding rounds. Al Sanbati emphasized the importance of strategic exits as a way to reinvest in new ventures, noting that discussions are already underway for potential exits from specific companies in the portfolio, contingent upon attracting new investors and achieving sustained growth.
With about 35 per cent of its investments directed towards the fintech sector, Sawari Ventures is at the forefront of digitizing the Egyptian economy and revitalizing financial inclusivity trends. The emphasis on fintech aligns with the global shift towards digital financial solutions and reflects the potential for transformative impact on Egypt’s economic landscape.
The foundation laid by Sawari Ventures since 2010 has been pivotal in not only shaping the trajectory of the companies it supports but also in signaling to the world the untapped potential within Egypt’s innovative ecosystem. As this new $150 million fund comes to fruition, the promise for Egypt’s startups looks brighter than ever, promising a new chapter of growth, innovation, and global competitiveness.
