Could the World Cup 2022 Boost Middle East’s Startup Ecosystem?

Everyone’s eyes are pretty much on Qatar right now. The World Cup is one of the most watched sporting events in the world and its impact on the host country is undeniable.

It’s come across my radar that while the World Cup no doubt brought attention to the country, Qatar has also spent record-high amounts. This year’s World Cup is reportedly one of the most expensive World Cups ever.

At the same time, reports show that the FIFA World Cup will contribute over $20 billion to Qatar’s economy, and that the GDP of the region will average out to 3.2%.

Qatar has already seen an inflow of $4 billion since the start of the year, and the benefits will only keep increasing even long after the World Cup 2022 is over.

But what does this mean for the startup scene in MENA? Let’s take a look.?

Qatar Moves Towards a Startup Culture

The rapid development of the World Cup and Qatar’s powerful position as the fourth wealthiest country according to the World Bank presents the country the opportunity to develop a robust startup ecosystem.

This is especially true as Qatar no longer has the luxury it did before to entirely depend its economy on oil, gas and hydrocarbon. Now, Qatar is more open to embracing startups and encourage companies to be innovative and move towards digitalization.

Increased Investment Opportunities in the MENA Region

The Middle East is an untapped market with tons of potential. While we’re seeing $300 billion in global venture investments, the Midde East has only seen $1 billion.

One of the key benefits of the World Cup 2022 is that it will open up a range of investment opportunities for startups in MENA. Government organizations, venture capital firms, and private investors are all likely to be eager to support innovative ideas. This influx of investment could be enough to kickstart many new businesses and give them the boost they need to succeed.?

Moreover, Qatar's ambitious Qatar National Vision 2030 plans for digital transformation means that there will be plenty of lucrative opportunities for tech startups too. Projects related to smart cities, digital banking and healthcare IT solutions are expected to roll out over the course of this decade –all offering exciting prospects for entrepreneurs looking for new opportunities in which to invest their time and money.?

Collaborations to Get the Wheels Rolling

The MENA startup scene is well known for its creative collaborations between entrepreneurs, investors, and accelerators. These relationships help create a dynamic ecosystem that supports and stimulates innovation.

Qatar is encouraging this type of collaboration through incubators and accelerators such as Qatar Fintech Hub and Qatar Science and Technology Park, both of which are entities that encourage entrepreneurs from around the world to participate.

These collaborative efforts could result in new products or services that go beyond just digital technology – bringing ideas from different industries such as art, media, entertainment, lifestyle & fashion together in unique ways that could have a lasting impact on local economies long after World Cup 2022 has come to an end.?

The Future of Startups in the MENA Region

The MENA region has started to attract global attention from everywhere with Riyadh and Dubai positioning themselves as investment hubs. The World Cup only served to accelerate an already rapidly moving process.

While Qatar still has less than 1,000 startups, this still presents an opportunity for entrepreneurs and startups operating in the MENA region to benefit from these increased opportunities.

Qatar’s investment in its startup sector can generate 2 to 4% GDP by 2023, creating almost 40,000 jobs and more foreign global venture investment.

Of course, with these advantages come challenges. But with careful planning, there is potential for great success! And for those reasons alone, there's no doubt that this historic occasion will leave a lasting legacy not only within sport but also within business throughout MENA.

If you’re an entrepreneur looking for ways to capitalize on this opportunity then now is the time to start planning your strategy!