A report issued by BlackRock’s “Aladdin” unit showed that the Middle East has become an attractive destination for capital.
After having been known for years as a region that exports capital.
This shift comes amid the growth of private markets and the expanding role of local investors in financing them.
According to the report, sovereign wealth funds in the Middle East allocate 43% of their investments to private equity,
Compared to 35% among their global counterparts. This difference reflects a greater regional interest in investing outside traditional financial markets.
Saudi Arabia leads fundraising activity in the region, accounting for more than 60% of total funds.
At the same time, family offices are becoming increasingly prominent in the investment landscape; they account for nearly half of active private equity investors in the Middle East.
These figures indicate a shift in the region’s role in investment flows, as its markets become increasingly capable of attracting capital while also deploying funds abroad.
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