Key Takeaways
- • The World Bank plans a proposed $50 million Fund of Funds to attract private investment into Pakistan's startups and innovative businesses, according to ProPakistani's report on the project document.
- • The initiative, called the Pakistan Entrepreneurship and Private Investment Catalyst Project, is expected to go before the World Bank's Executive Board in early 2027.
- • The fund would invest in professionally managed venture capital funds, which would in turn provide early-stage and growth financing to high-growth Pakistani companies.
- • The project remains at the proposal stage with a national scope and no fixed geographic focus identified at the concept stage.
Summary
Under the proposal, the government would establish and capitalize a Fund of Funds. That vehicle would invest in professionally managed venture capital funds, which would then provide early-stage and growth financing to innovative, high-growth companies in Pakistan. The structure relies on established fund managers to deploy capital, a model intended to bring both domestic and international private investors into Pakistan's developing venture capital market.
The project addresses what the World Bank document describes as a longstanding shortage of financing for startups and businesses with growth potential. According to the document, improved access to private capital could help businesses expand, support innovation and productivity, and create more and better-quality jobs over time.
The project would have a national scope, with no fixed geographic focus identified at the concept stage. As a result, the portfolio composition would be shaped by Pakistan's broader environmental and social context. The initiative remains at the proposal stage, and no fund size changes or manager selections have been announced.
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