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ـه1446 ةدعقلا وذ ددـــــ ـــــعلا Forum 23
م2025 �يام
UniveRSity oF oxFoRd

and Uc BeRkeley delegationS

Visit the Research and Initiatives Center

As part of Prince Sultan University’s AI Initiative, the Research and Initiatives Center was
honored to host delegations from the University of Oxford and the University of California,
Berkeley. The visit represented a key opportunity to explore strategic research collaboration
and drive innovation in artificial intelligence.
The visit began with a meeting involving PSU’s Acting President Dr. Saad S. Al-Rwaita, Vice
Presidents, the Dean of the College of Computer and Information Sciences, and key researchers.
The delegations then visited RIC, where they were introduced to PSU’s strategic research
agenda and current initiatives. The program concluded with a tour of PSU’s research labs.

M&a activity in Saudi Khalid emad Aljudaibi,
a student of Accounting
at P S U
arabia and the Middle east

2023 Slowdown Followed by Modest Recovery in 2024, eyes on 2025

I n 2023, mergers and acquisitions (M&A) activity across Global Economic Pressures Mirror Regional Decline Geopolitical and Economic Stabilization as Drivers of Growth in 2025

The MENA region’s M&A slowdown was part of a broader global
Looking ahead to the rest of 2025, analysts are cautiously
the Middle East, including Saudi Arabia, experienced
optimistic. One key factor that could support a stronger M&A
trend. Around the world, markets grappled with rising inflation,
a noticeable decline. This slowdown in deal-making
mirrored global trends, where rising inflation,
conflicts continue to de-escalate and political stability becomes
businesses to adjust their investment strategies. Like the Middle
geopolitical instability, and economic uncertainty put recession fears, and declining oil prices. These pressures caused rebound is the easing of geopolitical tensions in the region. If
a damper on M&A activity worldwide. However, 2024 East, many global markets experienced a downturn in M&A more widespread, the region could experience a surge in foreign
brought signs of modest recovery. Despite continued challenges, activity, fueled by higher borrowing costs and falling valuations in direct investment (FDI), driving M&A growth.
the region’s M&A market began to show resilience, and as we both public and private markets. Additionally, improving global economic conditions—such as the
move further into 2025, there is cautious optimism for stronger In the first half of 2023 alone, deal volumes in the Middle East stabilization of inflation rates and recovery in energy prices—
deal activity supported by improving economic indicators and dropped by as much as 40% compared to the same period in could further boost investor confidence. These trends would
ongoing investment opportunities, particularly those aligned 2022. This steep decline demonstrated that even well-capitalized create a more favorable environment for cross-border deals and
with Saudi Arabia's Vision 2030. sectors were hesitant to make bold strategic moves amid a regional consolidation across various industries.
volatile financial environment. Many companies chose to delay Saudi Arabia, in particular, stands to benefit from these
A Slower Year for M&A Deals in 2023 major transactions until the macroeconomic climate became developments. The Kingdom’s continued progress on Vision
According to several reports, M&A activity in the Middle East and more stable. 2030 initiatives, including the development of giga-projects
North Africa (MENA) region showed a marked decrease during and privatization of state assets, is expected to create fresh
2023. Preliminary data indicated that the total number of deals A Modest Recovery in 2024 opportunities for local and international investors alike.
Despite the significant decline in 2023, the following year brought
in the first nine months of that year was down by around 3% some signs of improvement. M&A activity in 2024 showed a Conclusion: A Gradual Recovery with Cautious Optimism for 2025
compared to 2022, with deal value also declining at a similar modest but important recovery in both volume and value. While In conclusion, 2023 marked a clear slowdown in M&A activity
rate. In Saudi Arabia, the slowdown was even more pronounced. not reaching pre-2023 levels, deal-making began to accelerate across Saudi Arabia and the Middle East, driven by a confluence of
Greenberg Traurig reported that the volume of deals in the in key sectors aligned with regional transformation agendas. global and regional challenges. However, 2024 delivered the first
Kingdom decreased significantly, reflecting broader regional and In Saudi Arabia, the economic outlook remained positive, with signs of recovery, with renewed deal activity in strategic sectors
global patterns. High inflation and rising interest rates weakened substantial investment opportunities in infrastructure, renewable and increased investor interest in long-term opportunities.
business confidence and reduced liquidity, deterring many firms energy, tourism, and technology—core components of Vision As we progress through 2025, the outlook remains cautiously
from pursuing mergers or acquisitions. 2030. optimistic. With continued economic reforms, geopolitical
Several contributing factors were behind this decline, including Greenberg Traurig and other sources noted that although the stabilization, and a clear national vision for diversification and
ongoing geopolitical tensions in the region. Persistent political number of transactions remained subdued, the value of several growth, Saudi Arabia and the broader MENA region are positioned
uncertainty led many foreign investors to take a cautious high-profile deals increased, suggesting that strategic, high-value to regain momentum in the M&A landscape. While risks remain,
approach, postponing or scaling back their planned investments. investments were still being pursued. This indicated growing the foundations for sustained deal-making activity appear to be
As a result, 2023 became a year of hesitation and recalibration for confidence among select investors who viewed the dip in activity strengthening, signaling a more dynamic and resilient market
M&A players across the MENA region. as a temporary correction rather than a long-term decline. ahead.