Category: Business

• Funding in the Middle East, Africa, Pakistan, and Turkey crossed the $7 billion mark again in 2022 thanks to a record Q1, but deals registered a 4% drop from 2021.
• Fintech investment led the way despite the “Crypto Crash” while Emerging Venture Markets continued to mimic the global VC landscape.
• MAGNiTT predicts correction in valuations will present significant M&A opportunities in 2023.
• Pakistan tripled its exits in 2022, exceeding its total in the last five years.

Dubai, UAE — 11 January 2023:

MAGNiTT, the largest verified data platform tracking venture capital investments across emerging markets, released the 2023 edition of its annual Emerging Venture Markets Report today. The report continues MAGNiTT’s tradition of analysing and comparing VC investments in technology startups headquartered in the Middle East, Africa, Pakistan, and Turkey (MEAPT) region.

Topline data from MAGNiTT’s latest report reveals sustained levels of funding – exceeding $7 billion for the second year in a row – and a steady number of transactions in MEAPT, driven by a record first quarter in 2022. However, further analysis shows a decline in funding and deals in subsequent quarters – in line with a worldwide pullback in venture investing – reflecting caution by VCs as a result of several macroeconomic developments and a climate of general uncertainty.

Within Emerging Venture Markets (EVMs), the MENA region continues to attract significant interest, surpassing its 2021 funding levels and crossing the $3 billion mark in 2022. This increase was largely driven by a 72% jump in funding for Saudi Arabian startups, while Egypt led the number of deals in MENA at 160 transactions. Africa saw close to $3 billion of investment as well, driven by Nigerian startups raising 29% of funding and closing 198 deals. Meanwhile, Turkey led EVMs overall in number of deals, with 295 transactions in 2022.

Philip Bahoshy, Chief Executive Officer of MAGNiTT, commented on the report by saying, “The venture investment landscape across the markets we cover was turbulent in 2022, echoing the global industry. We saw record highs in Q1 followed by rapid realignment as macroeconomic challenges took hold. Interestingly, deeper analysis of the data showed greater complexity in terms of investment divergence and funding success across the different geographies.

Bahoshy added, “More than ever, and particularly during this uncertain environment, there is greater engagement from governments, regulators, investors, and founders with the

real-time analytics and the unprecedented depth and verification we are able to deliver via the MAGNiTT data platform. As we prepare to expand into Southeast Asia this year and launch a new predictive analytics capability, we can only anticipate greater progress for this promising industry, supported by robust policy- and decision-making that is driven by insightful data.”

Key Highlights

1. A record-high first quarter drove funding in Emerging Venture Markets, which crossed the $7 billion mark once again in 2022. However, total EVM funding of $7.24 billion in 2022 is 2.3% lower than the $7.41 billion achieved in 2021. For context, there was a more than 238% jump in total funding from 2020-2021 ($2.19 billion to $7.41 billion respectively).
2. Funding amounts for deals of less than $100 million (or “mega” deals) increased by 11% from $4.14 billion to $4.60 billion. Most of these were made in Q1, likely an “afterburn” from 2021 as a result of delayed impact from more developed markets.

3. Funding and deals declined in Q2 and Q3 then settled in Q4. This continued the downward trajectory from Q1 in line with the global venture capital landscape, marking an uncertain environment as we enter 2023.
4. The evolution of EVM deal sizes in 2021 continued into 2022, with round sizes of

$1M-$5M, $5M-$20M, and $20M+ each gaining in proportion over those in the 0-$1 million range.

5. Exits across EVMs continued their upward trajectory to 144 in 2022, with an increase of 36% over 2021, reflecting continued maturity in the region’s VC industry. Middle East exits were the highest among these at 49, an increase of 69% over 2021.
6. Fintech investments continued to lead EVM deals in 2022, followed by E-commerce, Transport & Logistics, Enterprise Software, and Healthcare in a repeat of 2021 rankings.

Pakistan Highlights

1. Pakistan-headquartered startups raised $315 million in funding across 72 deals, with six exits in 2022.
2. More than half the funding that Pakistan saw was covered by its top five deals in 2022.

3. Although the number of deals in Pakistan fell by 20% in 2022, funding declined by only 5.4%.
4. Exits reported in Pakistan tripled in 2022, thereby exceeding the exits of the last five years combined.

Record Exits Create Opportunities for Consolidation

With Emerging Venture Markets often manifesting the broader macro story playing out from prior periods, the broad correction in startup valuations, and along with higher interest rates and subsequent fundraising challenges and cash conservation, opens up opportunities for VCs, corporates, international startups, and regional players to consolidate their market positions by acquiring attractive, promising companies in EVMs at lower valuations, which could drive significant M&A activity in 2023.

“We witnessed a record number of exits in 2022, increasing by 36% to an overall record of 144,” Bahoshy explained. “While usually an indicator of industry maturity, we can’t tell how many of these are a consequence of the challenging funding landscape or delivering returns for their investors. What is clear is that a normalisation of valuations to pre-pandemic norms is likely to see this exit trend continue into 2023 as opportunities arise for international startups, regional corporates and well-funded companies from the region.”

Bahoshy also noted that, aside from M&A activity, opportunities will still abound for smaller startups at earlier stages of funding. “As liquidity becomes harder to come by, especially for larger investments, it is likely that startups raising SEED rounds or early Series A will be in a sweet spot thanks to their more realistic valuations, specifically those with product-market fit and a clear path to monetisation for investors that still have dry powder,” he said.

MAGNiTT’s Emerging Venture Markets 2023 Report, which highlights the venture capital trends in the Middle East, Africa, Pakistan, and Turkey is  available  online  to  download for free, with a full 100+ page report available for purchase that dives deeper by industry, country, investors, exits, and more. The data underpinning the Emerging Venture Markets 2023 report is sourced from the MAGNiTT platform.

 

Karachi, (Muhammad Yasir) Promoting a culture of bill payments through digital means, K-Electric (KE) has partnered with Visa, the world leader in digital payments, and Savyour – Pakistan’s only consumer’s reward platform to provide cashbacks to the customers on paying their KE bills. This is an industry first in the power sector where a company is offering discounts to all customers paying digitally via a debit or credit card.

Savyour is Pakistan’s first and only cashback app and rewards platform featuring more than 500 brands across various categories while Visa is the world’s second largest payment gateway for digital transactions.

The exclusive offer is available until 28th February to all KE customers with Visa debit and credit cards using the Savyour app. There is also no minimum limit on the bill amount to be eligible for cashbacks. On weekdays, customers can avail 2% cashback of the total bill amount paid via digital payments through Savyour and 4% with VISA debit/credit cards with a maximum cashback of  PKR 1600, while upto 10% cashback can be availed on weekends with a maximum cashback of PKR 2100 with Visa Debit/Credit cards.

KE has been working actively to integrate digitalization into its core processes to provide customers with a seamless experience. The utility is pioneering innovation and supporting regular bill payment through the KE website and KE Live App by offering cashbacks, discounts, and also the ability to convert bill payments into installments. These combined efforts have enabled KE to achieve 1 million digitally connected users which is a significant milestone.

To avail the cashback, users can download Savyour app which will redirect them to KE’s website. On making payment through their Visa debit or credits cards, the cashback amount will reflect in the customer’s Savyour Wallet, which can be easily withdrawn by the users.

Pakistan (Muhammad Yasir) With the commitment to redefine insurance in Pakistan through continuous innovation and product enhancement, TPL Insurance has entered the Metaverse focusing on its next generation of customers. To create awareness about its products and develop a personalized experience, TPL Insurance has become the first insurance company in Pakistan to open in the meta space. The metaverse is growing in popularity, captivating people all around the world. From gaming to networking, many people and businesses are exploring the vast possibilities of the virtual world.

Speaking about the launch, Mr. Muhammad Aminuddin – CEO, TPL Insurance, said: “As Pakistan’s leading Insurtech, we take immense pride in bringing disruption to the digital space, creating new developments and offerings in the industry and for the next generation. Our efforts are focused on making insurance easy and accessible for various segments across Pakistan. TPL Insurance will continue playing a pivotal role in driving awareness about the benefits of insurance and providing customers with innovative solutions.”

With the accelerated progression of the tech and internet experience, the Metaverse enables users to go a step further than just browsing the internet or social media. Metaverse is a virtual world where people can meet and interact, like their real-life experiences and interactions. As the metaverse expands, so will its use as a marketing platform. This is the first step taken by TPL Insurance to establish a presence in the Metaverse, and insurance policies will be issued and serviced virtually in the upcoming months.

Users can walk around the  TPL Insurance gallery, learn about products and offers as well as get quick access to the mobile app and website for real-time policy issuance and servicing.

Commenting on this initiative, Ms. Sarah Dawood – Head of Corporate Brand, TPL Insurance, said, “The metaverse is the start of a new era in Marketing & Brand Communications in Pakistan, and globally, the consumer’s virtual life will now play as important a role as their physical presence and experiences with brands and services. I’m excited to see TPL Insurance as the first insurance company in Pakistan to be in the meta space.”

realme C35 was a winner with realme fans upon its launch, so owing to its high demand the company restocked it along with an extended 4GB RAM update.

A breathtaking design and a silky silhouette is what realme C35 is known for. At its launch, it quickly became a fan-favourite and stocks ran out quickly as people grabbed their very own units. However, owing to public aplomb, realme has restocked its C Series bestseller with an upgraded twist. The realme C35 is back on shelves and this time it has an extended 4GB RAM – thanks to the most recent software update. This means, it has more power for people to do more of all that they love to do.

realme C Series, the brand’s reputed, entry-level series has always made a mark by bringing cutting-edge features at affordable prices, never compromising on the top notch quality that realme is known for. realme C35 is equipped with a 50MP AI Triple camera, lets users capture detailed and exquisite images. It also comes with a first FHD 6.6-inches screen in the realme C Series line-up. The realme C35 is also the thinnest and lightest smartphone in the C Series range, with an 8.1 mm build and a lightweight 187g body.

With a current price tag of PKR 49,999/-, the realme C35 was a unique all-rounder that packs a punch both inside and outside. With a Unisoc T616 Octa-Core processor, it clocks a top-speed high performance delivering a 6.6-inch Ultra Smooth Display and 5,000 mAh battery to give you juice for an entire day.

Longest ride (900 km from Lahore to Abbotobad) in Pakistan

• Careem Captains completed 97 million rides, with longest Careem ride being in Pakistan (900 km from Lahore to Abbotobad)..
• The most unique lost and recovered item was a bridal dress in Pakistan.
• $205,000 was raised for the Shahid Afridi Foundation in Pakistan which went to shelters, food and essential items for flood victims, including $68,000 donated by Careem colleagues.
• Allama Iqbal International Airport in Lahore was amongst the top 3 airports with the most Careem rides including Riyadh Airport and Dubai International Airport.
• Cell phones, laptops, AirPods and wallets were the most frequently forgotten items in Careem rides
• 286,000 people used Careem Pay’s simple and reliable Careem Pay fintech services; customers topped up $50 million into their Careem wallets
• Careem customers, Captains, partners and colleagues donated $778,162 to regional causes

Pakistan (Muhammad Yasir) Careem, the region’s leading multi-service platform, shares the most interesting trends and insights from across the multi-service platform over 2022.

Mudassir Sheikha, CEO and co-founder of Careem, said: “2022 was an exciting year for Careem as we celebrated our 10th birthday, hit the monumental milestone of 1 billion rides, and supported the success of Expo 2022 Dubai and the FIFA World Cup Qatar. The Super App continued to deliver extraordinary value for customers as Careem Plus grew in popularity and we introduced a range of innovative new ride-hailing, delivery, fintech, and partner services, while expanding Careem BIKE in the UAE and into KSA.”

“We feel blessed to have raised $778,162 for humanitarian, education and economic empowerment initiatives throughout the year. The opportunity to support our communities and unleash even more potential in the region through technology is enormous and we can’t wait to deliver further on our purpose in 2023.”

Rides

Throughout 2022 Careem Captains completed 97 million rides and covered 1.2 billion km, with the most rides recorded in Saudi Arabia (26.8 million). The longest Careem ride in 2022 was 900 km from Lahore to Abbotobad in Pakistan, and the most active customer took 2,480 rides throughout the year in Qatar, including 17 trips in one day! The airports with the most Careem rides were Riyadh Airport, Dubai International Airport, and Allama Iqbal International Airport in Lahore. City-to-city rides grew by 51% percent from 2021, and Sharjah to Dubai was the most popular city-to-city route for customers.

Over 24,000 trips were made to FIFA World Cup Qatar stadiums and 55,000 trips were made to and from Expo 2022 Dubai. Careem introduced intercountry rides in 2022 to enable fans to travel from Saudi Arabia to Doha for the FIFA World Cup Qatar, and the longest trip in Qatar during the tournament was 313 kilometers, with plenty of stops, sightseeing moments, and of course – football matches!

The most frequently forgotten items in Careem cars were cell phones, laptops, AirPods and wallets, and the most unique lost and recovered item was a bridal dress in Pakistan.

Doing Good

Careem customers, Captains, partners and colleagues donated a total of $778,162 in 2022 for regional causes. Donation tiles were launched on the Super App in Dubai and Pakistan to enable customers to channel funds for humanitarian, education and economic empowerment initiatives. $205,000 was raised for the Shahid Afridi Foundation in Pakistan which went to shelters, food and essential items for flood victims, including $68,000 donated by Careem colleagues.

Careem reintroduced charity car types in the UAE, Qatar, Pakistan and Jordan so that customers could donate up to AED 5 per ride. A total of $12,000 was contributed by customers through their rides. During Ramadan Careem and Hala matched all tips to raise a total of $352,000 for Captains in the UAE, Pakistan, Jordan, Qatar, Kuwait and Bahrain.

Careem Pay

Careem Pay completed 1,127,006 transactions in 2022, with 286,000 people using the simple and reliable Careem Pay fintech services that were launched throughout the year. Bill payments grew 4x in the UAE, as customers used Careem Pay to quickly and easily pay bills, from phone, TV and internet, to electricity, water and gas, to Salik and Nol. Across all markets, customers topped up $50 million into their Careem Pay wallets and paid $12 million in bill payments and mobile recharge. Careem Pay processed $520 million worth of card payments across all Careem and Super App tenant services. 

Careem Pay’s domestic peer-to-peer money transfer service continued to rise in popularity with customers using it to split social expenses, pay service providers, or share sports games or lessons, from padel and swimming to football and basketball. Careem Pay’s international remittance service between the UAE and Pakistan enabled customers to seamlessly transfer money in minutes at competitive rates through the Careem app. And Careem Pay’s One-Click-Checkout product, now available on 1,500 online merchants, made shopping easier than ever for customers by allowing them to use their pre-saved payment, contact, and location details to shop online outside the Careem app.

Careem Plus

Careem Plus subscribers grew 10x since it was launched, with total savings of AED 50.2 million. The average saving per customer was AED 105 per month (over 5x the monthly membership of AED 19), and some of the most heavily engaged customers saved more than AED 1,000 each month.

Food

Food orders in the UAE, KSA, and Jordan grew by 21% in 2022 to reach 11.4 million meals, and Careem onboarded over 8,700 new restaurants onto the app. The most popular restaurants ordered through Careem in 2022 were Al Baik (KSA) and McDonalds (UAE and Jordan). The most ordered food item was Chicken McNuggets, however Careem recorded a 47% increase in healthy food orders in 2022 compared to 2021.

Over 16,000 orders were made through Careem’s Group Ordering feature over 2022, saving $82,544 in delivery fees. The largest order group was made by 13 customers in Amman, for a basket worth $130 (92.30 JOD) from Yellow Broasted.

Quik

Careem launched its 9th Quik dark store in Dubai, expanding the network to cover 90% of the city.  Monthly grocery orders through Careem Quik grew 26x in 2022, and the number of grocery items available in each Quik dark store doubled, with new categories like fresh meat and seafood on offer to customers.

Male customers ordered lots of Coca Cola and very few vegetables through Careem Quik, while female customers ordered more fruits, vegetables and herbs. Overall the most popular orders made through Quik were Vimto, Al Ain water, and Chiquita bananas. One customer ordered 216 bottles of Vimto for 2,100 dirhams which were delivered by 18 Captains. The fastest delivery recorded was 2 minutes and 5 seconds.

Express

Orders made through Careem’s B2B delivery business, Careem Express, grew 2.3x in 2022, with more than 10 million items delivered for businesses across the region. 505,856 burgers were delivered for Careem clients including McDonalds, Burger King, Hardees and Kitopi. The peak time for Express orders was Black Friday on 25 November when 45,000 items were delivered in a single day across UAE, KSA and Qatar. In one case, 50 furniture items were transported in a single delivery to furnish a bedroom in Jumeirah in Dubai.

The Careem app now offers over a dozen services including ride-hailing, food and grocery delivery, micro-mobility, payments, and partner services including car rental, home cleaning, laundry services and ticket purchasing. Customers can open or download Careem from the App Store, Google Play, or via direct Android download.

 

With its accomplishments in technology innovations and globalization, TECNO was honored as “2022-2023 GLOBAL SMART PHONE BRANDS TOP 10”.

Pakistan (Muhammad Yasir) As highly expected at the annual Consumer Electronic Show 2023: CES 2023, the 2022-2023 Global Top Brands were revealed, honoring TECNO as “2022-2023 GLOBAL SMART PHONE BRANDS TOP 10”. With its consistently accelerating strategy in technology innovation and design excellence to build a modern stylish brand since 2013, TECNO has built itself as an innovative global brand with operations in over 70 markets, while this award serves as another firm proof of its competitive power against global giants.

The annual Global Top Brands Award, hosted by Asia Digital Group, and European Digital Group, and supported by TWICE and International Data Corporation (IDC), is aimed to honor global consumer electronic brands at frontier innovations for global consumers and promote the entire industry’s development.

“We are impressed with the accomplishments TECNO has reached this year,” said Dongfang Zhu, President of Asia Digital Group. “TECNO has built a long-term reputation across global markets and dedicated to technology innovations for frontier markets globally. Remarkably TECNO keeps innovating at the forefront and truly embodies the spirit we are looking for in a top consumer electronic brand.”

Technology Innovation is the Hardcore in Global Top Brands Ranking

As CES is the ground to technologies and global innovators, the Global Top Brands Award this year also carried the theme of CES 2023: how technology is addressing the world’s biggest challenges, and focused on recognizing inspiring innovations and effective global strategy of brands to encourage them to upgrade technological innovations and create newer and better products. In the fast-moving digital age, brands can only embrace global challenges by keeping innovating constantly and unlocking more and more unknown areas. Hence, innovation capabilities as well as brand services from a global perspective are considered as the hardcore in Global Top Brands Award selection criteria.

The candidate brands were also evaluated from multiple perspectives including the candidates’ internationalization, overseas competitiveness, consumer experience, technological innovation and patents, overseas brand awareness, and brand management in internationalization to assess the overall technology innovation capabilities as well as the brand globalization achievements.

Adhering to the principles of authority, science, professionalism, objectivity and impartiality, the Global Top Brands has been one of the most authoritative, professional, and credible selection events in the global consumer electronics industry and has released the most influential list to the world since 2006.

Honoring TECNO’s Massive Progression Towards Premium Technology Brand

This year’s selection evaluates the participating brands from four dimensions, industry popularity, global strategic layout, influence on international market, and product innovation. Winning this prestigious global award and being listed as the TOP10 Global Smartphone Brands just precisely endorsed TECNO’s breakthroughs and strengths in those regards.

Embracing the latest trends in cutting-edge technology innovations and stylish modern design to craft the perfect products for a new generation of consumers, TECNO has been revolutionizing the digital experience in emerging global markets, relentlessly pushing for the perfect integration of contemporary, aesthetic design with the latest technologies. Thanks to its continuous innovation, TECNO won popularity among global young consumers who are aspiring to build a digitally connected life and realize better self.

“It is with great humility and excitement to receive this prestigious Global Top Brands Award at the CES 2023. It’s an amazing recognition for our continuous efforts in developing a distinguished brand and make TECNO a best choice among global consumers.” said Jack Guo, General Manager of TECNO. “With this precious recognition and our consistent commitment to frontier markets and consumers, we will keep driving forward our innovation strategy, pushing new boundaries between technology and design, and enable our consumers to build a beautiful life that is digitally connected and forward-looking”.

Certificate & Trophy of “2022-2023 GLOBAL SMART PHONE BRANDS TOP 10”.

Karachi (Muhammad Yasir) BankIslami, Pakistan’s leading Islamic financial institution with 350+ branches in more than 123 cities is once again sponsoring Eat Festival Pakistan; being held in Karachi at Beach View Park in Clifton on 6th, 7th and 8th of January, 2023, as an exclusive banking partner. This time around, BankIslami is going massive with an exclusive pavilion, free entry for BankIslami MasterCard holders, and Branch on Wheels-ATM service!

The BankIslami MasterCard holders will be granted 2 free entries by presenting their BankIslami MasterCard and CNIC at BankIslami’s exclusive entrance, for a smooth and hassle-free experience. The Bank’s pavilion at the festival will feature exciting activities such as a VR station, real-time One Touch Banking simulation and a 360-go-round photo station, and instant account opening through digital onboarding.

Speaking about the event, BankIslami President and CEO Syed Amir Ali said, “We at BankIslami, are thrilled to welcome you all to Pakistan’s biggest food festival and are proud to be associated with it for the past two years. We urge you all to eat your heart’s fill and not worry about going cashless because BankIslami’s Branch on Wheels-ATM service is here to serve you!”

All attendees must follow COVID-19 standard operating procedures and keep their vaccination certificates and CNICs with them.

Day 2 of Future Fest witnesses over 10’000 attendees, 70 exhibitors, and 60 speakers including powerful keynote from Special Assistant to the Prime Minister on Youth Affairs, Shaza Fatima Khawaja.

#SaveTheFuture

Pakistan (Muhammad Yasir) The second day of Pakistan’s largest tech conference and expo, Future Fest witnessed over 10’000 attendees, 70 exhibitors, and 60 speakers including powerful keynote from Special Assistant to the Prime Minister on Youth Affairs, Shaza Fatima Khawaja on the need for engaging Pakistan’s vibrant youth across the various facets of technology for a prosperous and brighter future.

The second day of Future Fest also witnessed the signing of an important MoU, under which Tracking.me, a company that sells Saudi made hardware and software, is acquiring Telematics Private Limited, a local distributor in Pakistan known for selling Saudi made tracing devices. This follows the powerful announcement earlier on the eve of Future Fest from HRH Prince Fahad bin Mansour Alsaud, on the establishment of a dedicated Saudi – Pakistan Tech House and his announcement of creating a further 300+ projects for his company Isla Interactive with 100 Million project value, creating more than a 1000+ jobs in Pakistan, Saudi Arabia and globally.

Day 2 also featured an interactive meditation performance, “How to awaken the giant” by Naeem Zamindar, Founder Neem. Keynote sessions were given by Ikram Sehgal, Chairman, Pathfinder Group, Usman Asif, CEO, DevsInc, Sadaffe Abid, CEO, Circle, AVM(R.) Dr. Rizwan Riaz, Pro-Rector Research, Innovation, Commercialization, RIC NUST, Khawar Naeem, Country Head, 10 Cent, Wasif Hussain, Creative Director, Collabs, Haasan Rizwan, Founder/CEO, SABAQ, Habib Saqib, Founder, Head of Business, FasalPay, Adnan Qureshi, Project Director, vFairs, and Hassan Rizwan, Founder & CEO, SABAQ.  

Later in the day, an approximate 50 sessions were held including master classes, fireside chats, and panel discussions from top industry leaders who talked about diverse subjects ranging from web3, scaling tech, worldview, gaming, storytelling, policy, governance, EdTech and Skills.

Indeed, Future Fest 2023 is hosting a historic delegation of Saudi startups and venture capitalists who are meeting Pakistani companies and key stakeholders to explore investments, partnerships, acquisitions, and talent recruitment. Dedicated to using technology to pave the way for the future of Pakistan, the event has brought together leaders from more than 50 industries to foster discussion on the future of life itself. Entrepreneurs, decision makers, policymakers, thought leaders, investors, and innovators are engaged in discussions about the most important aspects of current times and how technology can play a positive role to #SaveTheFuture.

Future Fest 2023 is hosting more than 250 speakers, 150 international guests from 15 countries, 100+ key partners and 20+ activities, and over 50,000 attendees.