Catenaa, February 16, 2026 – Mergers and acquisitions in the Middle East and North Africa reached $106.1 billion in 2025, marking a 15 percent increase from the prior year, according to a new report by professional services firm EY.
The total number of deals reached 884, up 26 percent year over year, underscoring sustained investor confidence despite global economic headwinds.
The Gulf Cooperation Council (GCC) accounted for the majority of activity, with 685 deals valued at $102.1 billion. This underscores continued commitment to economic diversification and efforts to reduce reliance on oil revenues.
EY highlighted that cross-border transactions were the main growth driver. These deals accounted for 54 per cent of volume and 61 per cent of value, a clear sign that regional companies are extending their reach abroad.
Large sovereign wealth funds played a key role. The Public Investment Fund of Saudi Arabia, the Abu Dhabi Investment Authority, and Mubadala anchor major transactions, including chemical and industrial deals in the UAE.
Inbound deal value jumped sharply, fuelled by investments from European and North American investors. Meanwhile, outbound activity rose 29 per cent, with MENA buyers seeking assets in the US, Canada, and Asia.
Sector trends also shifted. Technology and diversified industrial products led total volume, while real estate and asset management dominated value metrics among domestic transactions.
Domestic M&A remained robust, with 405 transactions and a disclosed value rising to $41.6 billion.
EY said regulatory reforms, sovereign backing, and strategic diversification continue to drive deal-making, suggesting MENA markets remain attractive even amid macroeconomic uncertainty.
