Private equity fundraising in the Middle East may see a hit as private investors rein in spending due to economic conditions in the oil-dependent region, a partner in The Abraaj Group told the Reuters Middle East Investment Summit.

The impact of lower oil prices, especially on the six hydrocarbon-centric Gulf producers, is being keenly watched as governments tackle budget deficits created by reduced revenues and sovereign wealth funds, after years of deploying significant oil cash, adapt strategies towards recycling existing capital.

Whether the same trend is being felt in private wealth has been less clear, although one of the biggest names in Middle Eastern private equity believes the sector isn't immune from regional sentiment.

"There are few PE firms in our markets that are geared to taking institutional capital. Diversifying the sources of capital is helpful as some pockets such as family offices can come and go, depending on market conditions," Mustafa Abdel-Wadood said in a summit interview at the firm's offices in Dubai.

"From this part of the world, you will see perhaps a little bit more caution around investing."

Abraaj would be unaffected though as the "significant majority" of its investment cash came from outside of the Middle East and was from institutional investors who were "less jittery" about the short-term volatility.

Having grown from its Dubai home since it was set up in 2002, Abraaj has bases in around 22 countries across the Middle East, Africa, Asia and Latin America.

With just under $10 billion of assets under management, Abdel-Wadood says Abraaj is the largest private equity firm looking at emerging markets exclusive of the BRIC countries.

Among the acquisitions it has made this year include stakes in Egyptian education firm Tiba Group, two Moroccan oncology clinics and Latin American courier firm Urbano.

It also bought into Saudi Arabian fast-food chain Kudu in collaboration with TPG Capital and announced on Tuesday a co-investment in Dubai-based car service app Careem, although Abdel-Wadood stressed it usually pursues investments on its own.

While it mostly targets sectors which are immune to economic swings, such as healthcare and education, Abdel-Wadood talks of the "global consumer" at the heart of its investment decisions.

"I don't think Middle Eastern consumers are that different from their counterparts globally in other growth markets, as consumption patterns are converging," he said, noting fast-food restaurants in Thailand and Saudi Arabia may have different menus but both need to focus on securing the right locations and supply chains.

"So at a high level it's all the same thing, but then you operate within a local context and that is where on the ground presence is key."

Two other potential investments which Abraaj has been linked with in so-called defensive sectors - Saudi Arabia's Al Raya Supermarkets and India's Care Hospitals - Abdel-Wadood declined to comment on except to say there was "an ongoing process".

On a potential exit of its 49 percent stake in payment processing firm Network International, he declined to comment.

Sources told Reuters on Monday a deal was expected to be announced this week, in which Warburg Pincus and General Atlantic would buy the stake.- Reuters