MENA’s AI bet deepens as tech spending heads for $169 billion

In brief: MENA technology spending is on course for roughly $169 billion in 2026, as capital flows towards artificial intelligence, hyperscale data centres and semiconductor supply chains. Saudi Arabia climbed to 13th globally in 2025, attracting about $33 billion in foreign direct investment. Startups such as 1001 and Maalexi have also raised funding.

The Middle East and North Africa is on course for roughly $169 billion in technology spending in 2026, as international and regional capital increasingly flows toward artificial intelligence, hyperscale data centres and semiconductor supply chains.

MENA was among the world’s fastest-growing investment destinations in 2025, according to the Middle East Observer, with capital shifting toward economies offering technological capability and large-scale infrastructure. Saudi Arabia climbed to 13th globally, attracting about $33 billion in foreign direct investment as its Vision 2030 reforms broadened the economy beyond hydrocarbons.

Startup activity is picking up in step. Arab News reported that GCC- and London-based AI startup 1001 raised a $30 million Series A led by Lux Capital, with backers including Sanabil Investments and General Catalyst, while UAE agricultural-fintech startup Maalexi raised $2.8 million in an oversubscribed round led by Saudi insurer Tawuniya.

Infrastructure is the other half of the story: the UAE is building a large data-centre cluster tied to the U.S. “Stargate” project, with involvement from OpenAI and NVIDIA and local operator G42.

Why it matters

For Lebanon and the wider region, the surge in regional AI infrastructure and venture funding shapes where technical talent, cloud capacity and startup capital concentrate over the next several years.

Read more: MENA’s AI bet deepens as tech spending heads for $169 billion · Oman’s mamun raises $3 million to expand Gulf–Asia trade financing · Ooredoo Oman and DE-CIX to launch nationwide internet exchange in early 2027

Sources: Middle East Observer; Arab News.

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