The World Bank’s International Finance Corporation has recently launched a $225 million platform. The Aim of the platform is to develop the digital economy in Pakistan, Africa, the Middle East and Central Asia countries.
The IFC has planned to make equity and equity-like investments in the startups in order to cultivate them into scalable progress that can allure debt financing and mainstream equity.
In another statement, it has been said that sector-agnostic platforms will also be used to work closely with other members of the world bank to support sector analysis, regulatory reform and other kinds of changes that can develop venture capital ecosystems in the mentioned regions.
IFC is leaving no stone unturned to make this project a success by trying to get capital from other development institutions including the private sector as well. Recently, the platform has received $50 million in support from the Blended Finance Facility of the International Development Association’s Private Sector Window. This will make an investment in low-income countries easier.
The managing director of IFC has stated that: “Support for entrepreneurship and digital transformation is essential to economic growth, job creation, and resilience,” FC’s Venture Capital Platform will help tech companies and entrepreneurs to expand during a time of capital shortage, creating scalable investment opportunities and backing countries’ efforts to build transformative tech ecosystems. We want to help develop homegrown innovative solutions that are not only relevant to emerging countries but can also be exported to the rest of the world,”