Sukna Capital, a Saudi investment group, alongside Partners for Growth (PFG), a US-based venture debt provider, has launched a new initiative to bolster the technology landscape in the Middle East and North Africa (MENA) region. The joint venture will provide up to $50 million of financial support to tech startups and small to medium-sized enterprises (SMEs) in the region, focusing particularly on companies with high growth potential.
The funding, aimed at innovation and technology sectors, includes various forms of financial assistance such as working capital lines, contract financing, and term loans. This flexible approach allows companies to access “institutional-quality credit” without surrendering equity, a significant advantage for founders looking to maintain control while scaling operations. Sukhdev Hansra, Sukna Capital’s head of asset management, underscored the goal of accelerating innovation and economic growth throughout MENA by providing these financial services.
Licensed by the Capital Market Authority, Sukna Capital manages Saudi Arabia’s first Sharia-compliant direct lending fund. By focusing on SMEs and growth-stage companies, they aim to inject liquidity where it is most needed, facilitating new opportunities for growth in the region’s tech ecosystem.
In parallel, PFG has established itself as a substantial player in the venture debt market, having backed over 250 companies worldwide, including sectors like technology, fintech, and healthcare. This partnership brings a wealth of experience and global insight into the burgeoning tech scene in the Middle East.
The announcement coincides with recent reports from data analyst Magnitt, which indicated a dramatic rise in venture capital funding in Saudi Arabia, totaling $860 million in the first half of 2025. With the kingdom capturing over half of all venture funding in MENA during this period, the partnership between Sukna and PFG is poised to capitalize on this momentum by further investing in the region’s tech startups.
This strategic move aligns with Saudi Arabia’s broader economic goals, as epitomized by initiatives such as the SAR 750 million fund launched in 2023 to diversify its economy and create high-quality tech jobs. These efforts are part of Crown Prince Mohammed bin Salman’s strategic vision, aiming to turn the kingdom into a hub of technological advancement.
