The Small and Medium Enterprises General Authority (Monsha'at) released its report for the first quarter of 2024, shining a spotlight on the Kingdom's thriving fashion sector and the wealth of investment potential for entrepreneurs.
The report reveals a fashion industry valued at a staggering SAR92.3 billion, with the local segment contributing SAR46.9 billion. Consumer spending on imported brands reached SAR27.4 billion, highlighting a significant market for domestic brands to capture. This robust growth trajectory is further emphasized by the projected 48% cumulative increase in the fashion sector's value between 2021 and 2025.
There is much room for optimism regarding the future of Saudi fashion. Fashion Commission CEO Burak Cakmak predicts continued progress and prosperity driven by the talent of local designers and the innovative vision of entrepreneurs. He emphasizes the potential for Saudi Arabia to leave a lasting mark on the global fashion scene.
The report also highlights the Kingdom's leadership in venture capital investments. According to MAGNiTT (the number one source of analytics, data and insights covering startups, investors and funds in Middle East, Africa, Pakistan and Türkiye) CEO Philip Bahoshy, the first quarter of 2024 saw a remarkable SAR900 million invested in startups. This figure solidifies Saudi Arabia's position as MENA region's leader in venture capital investments, holding a commanding 65% market share.
Monsha'at's report further showcases the success stories of entrepreneurs like Princess Deemah bint Mansour bin Saud bin Abdulaziz, the founder of fashion concept store "Personage", Mohammed Khoja, the creative force behind ready-to-wear Saudi luxury label "Hindamme", and Kamal Hubaishi, founder and managing partner of streetwear Urbn Lot, which all pave the way for future generations of Saudi fashion entrepreneurs.
