The International Finance Corporation (IFC) is allocating $5 million to a new fund that will be used to support technology startups in Central Asia, Gazeta.uz reports.
IFC is reportedly investing in Sturgeon Emerging Opportunities, a new venture capital fund managed by Sturgeon Capital, a major venture capital investor in emerging markets.
Sturgeon Emerging Opportunities will focus on supporting startup projects in areas such as fintech, business-to-business platforms, agri-tech, healthcare and education.
The investment in Sturgeon is part of IFC’s Startup Catalyst program, which aims to address financial challenges in undervalued venture capital ecosystems by investing in incubators, gas pedals and funds in emerging markets.
“The fund will help start-up entrepreneurs to expand their businesses, improve operational efficiency and create long-term employment opportunities,” the statement said.
Besides investing in projects in Central Asia, the fund also intends to work in other emerging markets such as Egypt and Pakistan.
Sturgeon Capital estimates that the IT startup market in these countries could generate nearly $300 million in annual digital revenue by 2030. However, startups in these countries are currently struggling to raise capital to launch and scale their products and services.
