Germany has earmarked 10 billion euros to assist technology startups and boost the economy, Bloomberg reported.
- The investment fund is equivalent to $12 billion, and will be meant to support startup firms having difficulties in raising venture capital.
- Economy Minister Peter Altmaier cited the need to support startups, describing them as “motors of structural change.” He also noted their impact on employment and their contribution to growth.
- Finance Minister Olaf Scholz also raised the need to address underrepresentation in the German startup ecosystem where female founders remain a minority despite the improvement in recent years. Scholz is being groomed to succeed Chancellor Angela Merkel.
A study by consultancy EY found that most of the funds raised by German startups come from foreign investors.