Middle East Entrepreneurs Respond to COVID-19 Pandemic
By: Katherine Pollock
Tags: Middle East, Entrepreneurship, Startup, Covid 19

Although the IMF anticipated a large increase in SME failures as a result of the COVID-19 pandemic, some entrepreneurs have found opportunity among the fallout. In particular, a number of Middle Eastern start-ups specialising in healthtech have filled gaps in their government’s COVID-19 responses.

While Arab countries have not been hit hardest by the pandemic, many states in the region have weak healthcare systems, only exaggerated by recent upheaval and the COVID-19 pandemic, and have thus welcomed private sector participation. In Egypt, for example, the government’s response to COVID-19 has received mixed reviews. Although under 7,000 Egyptians have reportedly lost their lives due to coronavirus, a relatively low number when compared to countries of a similar size, critics have called the state’s response inadequate. Vezeeta, a health start-up launched in Egypt in 2014, has stepped in to help the government’s fragile healthcare infrastructure respond to the crisis. The start-up raised $40 million in its Series D round just months before the pandemic and has become a leader in dealing with COVID-19 in Egypt. Although Vezeeta originally focused on connecting patients to doctors for in-person appointments, it has now pivoted to telemedicine. This March, Vezeeta, the Egyptian Ministry of Health, and global pharmaceutical giant AstraZeneca signed an agreement to tackle the spread of COVID-19 through digital awareness. Another Egyptian start-up, Quibix, has imported shipping containers to be transformed into mobile health clinics deployable to both urban and rural areas. Although Quibix previously furnished its containers for restaurant, office, or home use, it has now focused exclusively on equipping its containers as safe, efficient, and comfortable environments for both testing and treatment.

In Libya, where access to healthcare is significantly more challenging, one doctor’s app has proven instrumental. Mohamed Aburawi created Speetar in 2016, a telehealth platform that allows doctors living abroad to connect with patients in Libya. A recent agreement made Speetar the official platform for government health services during the COVID-19 pandemic. According to Aburawi, this online triage service will prevent those who do not need medical attention from visiting clinics, a move that could slow the spread of infections. Libya not yet been hit hard by the pandemic, perhaps due to the fact that civil war has kept visitors — and the virus — away. The Speetar team hopes that if their app can help Libya avoid the full-blown effects of the pandemic, it can be expanded to other countries such as Egypt and Pakistan.

While many of these start-ups are still operating at a relatively small scale, investors are paying attention. A new $60 million dollar fund led by Silicon Valley veterans pledged to focus its investments on healthtech. There is precedent for large-scale investment in Middle Eastern tech successes, such as Uber’s acquisition of ride-sharing app Careem in 2019, and online marketplace Souq, purchased by Amazon in 2017. As the global economy adapts to a still-shifting landscape, it’s evident that a start-up’s ability to pivot quickly and provide essential services may prove key to its long-term resilience and value.