How government investment is fueling rapid growth in the MENA region

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This weekend, Pocket Gamer Connects is heading back to Jordan, bringing together developers, publishers, investors and other industry professionals from across the MENA region at a pivotal time for the local games industry.

The region has the fastest growing games sector by revenue in the world. In 2023, Newzoo reported that MENA market revenue increased by 4.6% year-over-year to $7.1 billion, making it the fastest growing region. In its 2024 forecasts, Newzoo said MENA will also outpace all other regions for new player growth too, rising by 8.2% Y/Y to 559m players. That makes it the second largest region after Asia-Pacific, which has more than 1.8 billion players.

During a recent talk at Supercell’s Games First Helsinki 2024 (check out our roundup here), Usiku Games producer Denis Odera discussed Africa’s games market, stating: “There’s a lot of enthusiasm in the continent, especially from young people. That’s what’s going to skyrocket the industry.”

Yalla Group president Saifi Ismail, whose company has generated hundreds of millions of dollars from its hit title Yalla Ludo, told PocketGamer.biz: “The MENA region has witnessed significant growth in the games industry driven by increased digital adoption and a young, tech-savvy population. Consumers are increasingly engaging with mobile and online games, with a noticeable shift towards more social and interactive experiences.”

Significant investments

Though it’s the fastest growing region by games revenue, it’s also the smallest. And while there are a few larger, successful publishers like Maysalward, Sandsoft, Tamatem, Babil Games, Jawaker and Carry1st, it’s still an emerging hub for developers.

But it’s all changing rapidly. Governments across the region are transforming their economies and are looking at games and esports as key areas for investment and growth. Saudi Arabia’s Savvy Games Group – owner of Scopely, which ranked number one in our Top 50 Mobile Game Makers 2024 list – has a $38 billion fund for games. It’s not been in a huge rush to spend it all, though Scopely recently said we can expect a mega deal from the Monopoly Go developer in 2025 for a game generating a billion dollars.

Savvy’s investments aren’t just its major acquisitions. It’s investing in the local market, building up internal development teams at Steer Studios and signing local partnerships with the likes of Xsolla and Niantic. Savvy aims to create more than 600 jobs in Saudi Arabia’s games industry over the next couple of years

“Our strategic investments and initiatives have not only expanded our global footprint but also contributed to exciting developments within the Kingdom of Saudi Arabia,” said Savvy Games Group CEO Brian Ward.

Saudi Arabia’s heavy investment in games has sparked other countries into action. The United Arab Emirates has ambitions to create a $1 billion games sector over the next 10 years, powered by the Dubai Program for Gaming 2023. Jordan also has substantial investments in gaming and is a hub for development talent.

Economic diversification

Maysalward CEO Nour Khrais previously told PocketGamer.biz that the injection in games from the KSA and Savvy Games Group “has not only elevated Saudi Arabia as a gaming hub but has also spurred other countries to recognise the potential of the gaming industry for economic growth and development”.

“As a result, there is a growing trend of more countries in the region showing interest in investing in the gaming sector to capitalise on its potential benefits,” he said. He added: “This increased investment from other countries indicates a broader recognition of the games industry’s significance and opportunities for economic diversification and innovation across the region.”

We’ll be reporting live from PGC Jordan this weekend about the latest developments and trends in the region and how local companies are fueling MENA’s rise as a games industry hub. 

We hope to see you there, but if not, we’ll be sure to keep you informed on one of the most exciting emerging markets in the world.