Pakistan Startup Fund
Pakistan Startup Fund is a government-backed initiative aimed at supporting and promoting the growth of startups in Pakistan through encouraging investments in Pakistan by the top notch global as well as local Venture Capitalists (VC). The Pakistan Startup Fund is designed to be a well-structured and comprehensive initiative aimed at fostering startup growth and innovation within the country. The grant from the Pakistan Startup Fund will only be disbursed to the eligible startup as the ‘last cheque’ in the ongoing funding round. This means that the startup must secure the full investment from the investor or VC before receiving the fund's grant. The grant is positioned as the final piece of the financial puzzle, providing startups with additional support after they have secured funding from the private sector
The fund was launched on 9th January 2024 by the caretaker Federal Minister for IT & Telecom, Dr. Umar Saif. The event was aimed at showcasing the potential of Pakistani startup ecosystem and to highlight the commitment of the government to local and international VCs.
The honourable caretaker federal minister for IT & Telecom, Dr. Umar Said, while explaining the program to the participants stated that against the grant provided by the government, amounting up to 30 percent of the required fund of start-up, the government/fund will not claim equity or position in the board of the company. Dr. Saif said the 30 percent share of the government will be treated as grants for the startups, succeeded in getting at least 70 percent of foreign investment.
He further added that, while enabling investments across various sectors, including fintech, retail, and e-commerce, the fund particularly encourages investments in emerging technologies like AI and machine learning. The event emphasized the fund's dedication to creating an ecosystem that supports startups in accessing domestic and international markets, contributing to the government's broader innovation and economic development strategies.