Capital Raising - Kuwait

Kuwait

The total capital raised in Kuwait's Capital Raising market market is expected to reach US$8.2m in 2024.
Traditional Capital Raising leads the market with a projected market volume of US$8.2m in 2024.
When compared globally, the United States is set to generate the most capital raised, with US$331,800.0m in 2024.
Kuwait's Capital Raising market sees a surge in Sovereign Wealth Fund investments, shaping the country's economic landscape.

Key regions: United States, China, India, Israel, Europe

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Analyst Opinion

The Capital Raising market in Kuwait has been experiencing significant development in recent years.

Customer preferences: Kuwaiti investors have shown a growing interest in capital raising activities, seeking opportunities to diversify their investment portfolios and generate higher returns. This trend can be attributed to the desire for financial security and the potential for capital appreciation. Additionally, Kuwaiti investors have become more open to exploring alternative investment options beyond traditional avenues such as real estate and stocks.

Trends in the market: One of the key trends in the capital raising market in Kuwait is the increasing popularity of Initial Public Offerings (IPOs). Companies in various sectors, including banking, telecommunications, and healthcare, have successfully raised capital through IPOs, attracting both local and international investors. This trend can be attributed to the government's efforts to encourage private sector growth and diversification, as well as the positive outlook for the Kuwaiti economy. Another trend is the emergence of crowdfunding platforms, which provide individuals and businesses with an alternative way to raise capital. This trend is driven by the ease of access to capital, as well as the ability to reach a larger pool of potential investors. Crowdfunding platforms have gained popularity among startups and small businesses, as they offer a more streamlined and cost-effective approach to capital raising.

Local special circumstances: Kuwait has a well-established regulatory framework that governs the capital raising market, providing investors with a sense of security and confidence. The Kuwait Capital Markets Authority (CMA) plays a crucial role in regulating and supervising the market, ensuring transparency and fair practices. This regulatory environment has contributed to the growth of the capital raising market in Kuwait by attracting both local and international investors.

Underlying macroeconomic factors: The development of the capital raising market in Kuwait is also influenced by several macroeconomic factors. The country's stable political environment, coupled with its strong fiscal position, has created a favorable investment climate. Additionally, Kuwait's strategic location and its role as a major oil producer have attracted foreign investors, further contributing to the growth of the capital raising market. In conclusion, the Capital Raising market in Kuwait has been experiencing significant development, driven by customer preferences for diversification and higher returns. The increasing popularity of IPOs and crowdfunding platforms reflects the changing investment landscape in Kuwait. The country's well-established regulatory framework and favorable macroeconomic factors have also played a crucial role in attracting both local and international investors.

Methodology

Data coverage:

Data encompasses B2B and B2C enterprises. Figures are based on the amount of capital raised, the average of deal size and the number of deals.

Modeling approach / Market size:

Market sizes are determined through a combined top-down and bottom-up approach, building on a specific rationale for each market segment. As a basis for evaluating markets, we use data from OECD, annual financial reports of key players, industry reports, third-party reports, publicly available databases, and survey results from primary research (e.g., the Statista Global Consumer Survey). In addition, we use relevant key market indicators and data from country-specific associations, such as GDP, CPI, number of small and medium-sized enterprises (SME), new businesses registered (number) . This data helps us estimate the market size for each country individually.

Forecasts:

In our forecasts, we apply diverse forecasting techniques. The selection of forecasting techniques is based on the behavior of the relevant market. For example, the S-curve function and exponential trend smoothing are well suited for forecasting digital products and services due to the non-linear growth of technology adoption.

Additional notes:

The market is updated twice a year in case market dynamics change. The impact of the COVID-19 pandemic and the Russia-Ukraine war is considered at a country-specific level.