LONDON: Adverts by Muslim fintech company Wahed Invest have been banned in the UK for featuring burning banknotes, which the country’s advertising watchdog deemed “offensive.”

The New York-based investment platform, which targets the Muslim community, ran a series of posters across London’s transport system in September and October.

The ads showed US dollar and euro banknotes on fire alongside slogans such as “Join the money revolution” and “Withdraw from Riba” — a term referring to the Islamic prohibition of interest.

The Advertising Standards Authority said it received 75 complaints that the ads were offensive.

“The ads represented the expression that viewers’ money was ‘going up in flames’ and that images of burning money were commonly encountered,” the ASA said in a statement.

“However, regardless of whether viewers would have understood that message or understood it as a defiant act designed to show a challenge to financial institutions, the currencies which were burned in all of the ads were clearly visible as US dollar and euro banknotes.”

The advert also featured images of Muslim preacher Ismail ibn Musa Menk and Russian former professional mixed martial artist Khabib Abdulmanapovich Nurmagomedov.

Three of the posters showed Menk holding an open briefcase filled with US dollar and euro banknotes on fire, with two of them stating “Withdraw from Exploitation.”

Wahed defended the campaign, explaining that the burning banknotes symbolized money “going up in flames” due to inflation outpacing savings growth.

The company, which describe itself as an investment platform allowing consumers who were predominantly Muslim to invest in a manner which aligned with their faith and values, launched in the US in 2017 and is backed by the oil company Saudi Aramco and the French footballer Paul Pogba.

Wahed acknowledged that the currencies depicted in the ads could be viewed as symbols of national identity but argued that the imagery of burning money was a powerful reference to hyperinflation, a concept often depicted in popular culture through film and television.

A spokesperson added: “We understand that visuals like those included in our campaign can elicit strong reactions.

“While our intention was to spark thought and awareness, we recognize the importance of ensuring that messaging resonates positively with the diverse audiences that may consume them.”

The ASA said that the adverts would have been seen by many people, including people from the US and eurozone countries, who “would have viewed their nation’s currency as being culturally significant.

“Although we acknowledged Wahed Invest’s view that they had not directly criticized a specific group, and that depictions of burning banknotes were commonly encountered, we considered the burning of banknotes would have caused serious offense to some viewers,” the regulator said.

“We therefore concluded that the ads were likely to cause serious offense.”

RIYADH: Saudi Arabia has retained its position as the top destination for venture capital funding in the Middle East and North Africa region, raising $750 million in 2024, according to a new report.  

This marks the second consecutive year the Kingdom has topped the regional VC rankings.  

Data from regional venture platform MAGNiTT showed that Saudi Arabia accounted for 40 percent of the total VC capital deployed in MENA in 2024, with a 16 percent year-on-year increase in deal flow.  

The Kingdom closed 178 deals, the most of any MENA nation, reflecting strong investor confidence and a thriving startup ecosystem. 

The largest deal in the region was secured by Saudi-based e-commerce enablement platform Salla, which raised $130 million. 

The UAE ranked second in regional funding with $613 million raised, while leading in deal volume with 188 transactions and 12 exits.  

Emerging venture markets snapshot  

MENA startups collectively raised $1.9 billion in 2024, reflecting a 29 percent decline compared to 2023.   

Despite the drop, MAGNiTT noted that “funding levels in 2024 were still higher than 2020 levels, prior to the 2021 and 2022 boom years, signaling continued growth in the venture space.”  

The Middle East accounted for $1.5 billion of the funding, spread across 461 deals — a 10 percent annual increase. Total investor participation in the region grew by 14 percent, reaching 392 investors, while exits totaled 24.  

Venture capital performance in emerging venture markets — which include the Middle East, Africa, Southeast Asia, Pakistan, and Turkiye — slowed significantly in 2024.   

Total VC funding in these regions fell by 40 percent, with deal volumes dropping 20 percent compared to 2023. Both metrics also dipped below 2020 levels.  

Southeast Asia led among EVMs with $5.6 billion raised across 564 deals, while Africa recorded the weakest performance, raising $1.07 billion through 294 deals.  

Mega deals and early-stage activity  

Global VC trends, such as reduced late-stage funding, were reflected in EVMs. Mega deals — valued at $100 million or more — declined for the third consecutive year, falling 56 percent compared to 2023.   

The first quarter of 2024 saw the lowest mega deal funding since the fourth quarter of 2019, with late-stage investments hardest hit.  

However, early-stage activity showed resilience. The focus on seed and pre-series A funding increased, with $1 million to $5 million ticket sizes rising by 5 percentage points year on year.  

According to MAGNiTT, this emphasis on early-stage investments is critical for sustaining future deal flow growth.  

Philip Bahoshy, CEO of MAGNiTT, highlighted a potential recovery in the venture market. “In 2024, we witnessed a decline in funding across EVMs driven by reduced late-stage investment activity. However, the positive development is that 2024 also saw a gradual decline in interest rates, both in mature markets like the US and Emerging Markets,” he said.  

“We anticipate these rate cuts to begin boosting capital availability within the next 6-9 months, paving the way for a stronger funding environment in 2025,” Bahoshy added.  

The Middle East increased its share of deal transactions across EVMs to 35 percent in 2024, an 8-percentage-point rise.   

Southeast Asia captured the largest share at 43 percent, while Africa’s share dropped to its lowest level in five years, at 22 percent.