Stride Ventures Expands to Saudi Arabia: New Hub for Middle East Venture Debt

Stride Ventures, a prominent name in the global venture debt ecosystem, has unveiled ambitious plans to expand its footprint across the Gulf Cooperation Council (GCC), with Saudi Arabia as its strategic focal point. This bold move featuring the opening of a second regional office and the doubling of its local workforce signals a powerful transformation. Saudi Arabia is no longer merely a recipient of capital; it is emerging as a key architect in reshaping how startups are financed in the Middle East.

Launch of the Global Venture Debt Report 2025

Stride’s announcement comes alongside the release of the first-ever Global Venture Debt Report 2025, produced in collaboration with global consultancy Kearney. The report reveals striking growth figures: while the global venture debt market has expanded at a healthy 14% compound annual growth rate (CAGR) over the last five years, the GCC region has surged ahead with a staggering 54% CAGR, driven largely by Saudi Arabia. From just $60 million in 2020, the regional market has now ballooned to $500 million, reflecting both the pace and magnitude of financial evolution.

Vision 2030: The Catalyst for Change

At the heart of this financial shift is Saudi Arabia’s Vision 2030, the Kingdom’s ambitious plan to diversify its economy beyond oil. This national agenda has spurred a wave of initiatives aimed at building a robust startup and investment ecosystem. The $1.07 billion Jada Fund of Funds, along with partnerships with major global asset managers such as Goldman Sachs and Franklin Templeton, showcase the government’s commitment. Meanwhile, institutions like Abu Dhabi Global Market (ADGM) and the innovation hub Hub71 are reinforcing the infrastructure that underpins this emerging venture ecosystem.

Redefining Startup Financing in the GCC

Historically, traditional banks in the region have been cautious, often reluctant to fund early-stage, asset-light ventures. Venture debt - non-dilutive, adaptable, and aligned with the needs of rapidly growing businesses, is now stepping into this gap. Fintech pioneers such as Tabby and Tamara have already secured venture debt deals exceeding $100 million, offering a proven path for other sectors like healthtech, climate tech, and logistics to follow.

Strategic Growth and Regional Commitment

Stride Ventures is positioning itself to harness this wave of innovation. Over the past year, the firm has expanded its GCC team by more than 60% and aims to triple its regional assets under management by 2026. With a planned commitment of $500 million across the region in the next three to five years, Stride’s latest fund is attracting significant investor interest and is expected to be oversubscribed in a short span.

A Pipeline of Opportunity

Currently, Stride is managing an active investment pipeline worth up to $110 million in the region, with typical transaction sizes averaging $10 million. This strong pipeline reflects the depth of opportunity and the rising demand among regional startups for founder-friendly, flexible debt financing. By offering significant and strategic capital, Stride is emerging as a cornerstone in the development of the GCC’s next generation of unicorns.

Perhaps most telling is the influx of global talent. Senior executives from Silicon Valley, London, and Singapore are relocating to Riyadh, lured by the region’s capital abundance and policy stability. “Saudi Arabia is shaping the future of venture capital and private credit with intention and scale,” says Fariha Ansari Javed, Partner at Stride Ventures. “We are seeing a new generation of founders who understand the value of non-dilutive capital to scale responsibly and an equally ambitious set of investors in the region ready to fuel their growth.”

The implications are profound. The Middle East, long seen as a passive capital provider, is repositioning itself as an active hub for innovation finance. As Fariha puts it: “Saudi Arabia is moving from being a capital source to becoming a capital magnet. Stride is proud to be part of this next chapter.”

What Lies Ahead for Venture Debt in the Gulf

The real question is no longer whether venture debt will find a foothold in the GCC, but how rapidly it can scale. As entrepreneurial ambition continues to soar, the challenge now shifts to ensuring that regulatory and institutional frameworks evolve just as swiftly. The Middle East’s financial future is being redefined, and venture debt appears poised to play a pivotal role.