ASTANA, Kazakhstan, May 14. The International Financial Corporation (IFC) will invest $5 million in a new venture capital fund, Sturgeon Emerging Opportunities II, LP, managed by major venture capital investor Sturgeon Capital, Trend reports.
According to the IFC, the purpose of the investment is to promote the digital economy and support the growth of early-stage tech startups in Central Asia.
Sturgeon Emerging Opportunities Fund II will focus on startups in areas such as fintech, business-to-business platforms, agritech, healthtech, and ed-tech. It aims to help emerging entrepreneurs scale their businesses, improve operational efficiency, and create long-term employment opportunities in the regions.
As the IFC noted, the fund will mainly invest in Central Asia, but it will also look for opportunities in other emerging markets, such as Egypt and Pakistan. Sturgeon Capital estimates that the tech startup industry in these countries could generate nearly $300 million in annual digital revenue by 2030, benefiting more than half a billion people.
To note, IFC's investment in Sturgeon is part of IFC's Startup Catalyst program, which addresses funding gaps in underserved venture capital ecosystems by investing in incubators, accelerators, and seed funds focused on emerging markets.
The program targets high-risk markets, including some of the world's poorest and most fragile countries. Since 2016, the program has supported more than 2,800 entrepreneurs, including 700 women, in 24 countries through 21 funds.
The largest global development institution focusing on the private sector in emerging markets is IFC, a member of the World Bank Group. It operates in more than 100 countries, leveraging our capital, expertise, and influence to create markets and opportunities in developing countries. In fiscal year 2023, IFC committed a record $43.7 billion to private companies and financial institutions in developing countries, leveraging the power of the private sector to end extreme poverty and boost shared prosperity as economies grapple with the impacts of global compounding crises.
