In 2024, Kazakhstani startups attracted $71 million

RISE Research, in collaboration with EA Group, MA7 Ventures, BGlobal Ventures, KPMG, and dealroom.co, conducted a comprehensive study of the Central Asian venture market for 2024. The study involved more than 200 startups and 40 venture investors and market experts.

According to the data obtained, the venture market in Central Asia continues to grow. The total volume of venture deals in the region reached $95 million in 2024, which is 7% higher than in 2023.

Kazakhstan continues to strengthen its position as the main venture hub in Central Asia. The volume of venture investments in the country reached $71 million, accounting for 74% of all venture deals in the region.

The number of active investors tripled, exceeding 60 participants, indicating increased interest in the country's startup ecosystem. A total of more than 80 venture deals were recorded over the year.

Particularly active areas include artificial intelligence, HealthTech, and Enterprise Software. Many AI startups are not classified in this category because they integrate artificial intelligence technologies into financial, medical, and other solutions. This means that the real impact of AI on the market is even higher than official data suggests.

The market also shows growth in the average size of deals, indicating increased attractiveness of Kazakh startups for investors. SAFE agreements dominate deals at the early Pre-seed and Seed stages, simplifying the capital raising process.

In 2024, the total assets under management of 12 Kazakh venture funds exceeded $157 million, with 32% already invested in startups. 44% of venture fund capital was raised from private investors; however, announced government initiatives, particularly the fund of funds, may significantly change funding sources as early as 2025.

It is worth noting that in 2024, Kazakh startups demonstrated more active expansion into international markets, including the US, Europe, the Middle East, and Southeast Asia. These factors significantly increase the average investment check size and company valuations, which in the future could contribute to the emergence of the first Kazakh unicorn startup.

The full study is available here.