Why MENA needs more “Boring Startups”
Category: Technology
By Mo
Published: 2025-09-25T19:12:04.000Z
The MENA startup ecosystem, while attracting capital to AI and blockchain, requires foundational "boring startups" in logistics, utilities, and infrastructure. These ventures address critical daily problems, fostering sustainable economic growth and resilience in the region.
The Middle East and North Africa (MENA) startup ecosystem is vibrant, attracting significant venture capital and government support. While entrepreneurial energy often gravitates towards cutting-edge sectors like Artificial Intelligence (AI) and blockchain technologies—with crypto startups alone constituting a notable 15% of active ventures in MENA as of April 2025 —a critical question arises: are we overlooking the foundational needs essential for sustainable economic growth? The persistent challenges within the MENA ecosystem, such as regulatory complexity, skills shortages, and the imperative for robust infrastructure, suggest that long-term prosperity may depend less on fleeting technological trends and more on steadfast, often unglamorous, solutions that address everyday problems. These are the “boring startups” that strategically focus on utilities, logistics, and core infrastructure. The global technology landscape is inherently susceptible to hype cycles, and MENA is no exception. The promise of exponential growth and transformative impact associated with AI, crypto, and other frontier technologies acts as a powerful magnet for talent and capital. While these sectors possess immense potential, an excessive concentration on them risks neglecting the foundational areas indispensable for a well-functioning society and a resilient economy. “Boring” startups seldom capture mainstream attention. They are enterprises diligently working behind the scenes, resolving unglamorous yet critical challenges of daily life and commerce. These innovators construct the digital and physical infrastructure that empowers other businesses to flourish, ensuring timely deliveries, reliable power and water access, and efficient waste management. While these endeavors may not generate viral buzz, they constitute the fundamental bedrock of modern prosperity. The MENA region, characterized by rapid urbanization, a burgeoning young population, and an urgent need for economic diversification, is uniquely positioned for a new wave of “boring” startups. The opportunities within these foundational sectors are vast, with profound potential for impact. As a pivotal global trade hub, MENA’s logistics infrastructure frequently suffers from fragmentation and inefficiency, creating substantial hurdles for businesses. “Boring” startups capable of streamlining supply chains, enhancing last-mile delivery, and developing more efficient cross-border logistics solutions are critically needed. Colis.ma, a Moroccan startup, exemplifies this by bridging the logistics gap between Africa and Europe, providing reliable parcel delivery and connecting businesses to new markets. Repzo, a Jordanian company, offers a comprehensive field force management solution, enabling real-time tracking of sales and service teams, leading to significant improvements in efficiency and profitability. Furthermore, Swvl, an Egyptian-born, Dubai-headquartered startup, addresses urban transportation challenges through its shared mobility solutions, enhancing commuter lives, reducing traffic congestion, and lowering carbon emissions . The MENA region, marked by its water scarcity and abundant solar resources, faces both a significant challenge and a unique opportunity. The challenge lies in securing a reliable and sustainable supply of water and energy for a rapidly expanding population. The opportunity, however, is to emerge as a global leader in renewable energy and water technology. “Boring” startups are at the vanguard of this transformative shift. Yellow Door Energy (UAE) stands out as a premier provider of solar and energy efficiency solutions for commercial and industrial clients across the MENA region. By assisting businesses in transitioning to solar power, Yellow Door Energy not only curtails their energy expenditures but also helps them achieve their sustainability objectives. KarmSolar (Egypt) is another pioneering force in the renewable energy domain. This company has innovated solar-powered water pumping and desalination solutions, crucial for delivering clean water to remote communities. Similarly, Enerwhere (UAE) delivers solar-hybrid power solutions to off-grid industrial clients, thereby reducing their dependence on costly and environmentally detrimental diesel generators. MENA is currently experiencing an unprecedented wave of urbanization, characterized by the rapid construction of new cities and mega-projects. This scenario presents an enormous opportunity for “boring” startups that can offer innovative solutions for the construction, management, and maintenance of urban infrastructure. The construction industry in MENA is ripe for disruption. Opportunities abound for improving every facet, from project management and supply chain logistics to advanced building materials and construction techniques. Startups focusing on Construction Technology (ConTech) are revolutionizing how structures are designed, built, and maintained. This encompasses innovations i