The new venture capital investment programme launched by the European Bank for Reconstruction and Development (EBRD) for early and growth stage companies operating in technology sectors, is a commitment to technology financing in the EBRD region. The programme, which includes a €100 million capital pool, will approximately invest in 10-20 companies in the region over the next four years and will seek to invest alongside leading local and international venture capital investors.

The European Bank for Reconstruction and Development (EBRD) launched a venture capital programme for technology companies, which especially target innovative, high-growth companies of small and medium size, operating in software and web services, semiconductors and materials, communications, mobility and media and clean technology sectors. According to the EBRD, the programme has as main aim to back companies which already have early revenues and/or strategic partnerships and can demonstrate strong growth potential. It is a long-term commitment to technology financing in the EBRD region –including the future region of southern and eastern Mediterranean, which includes a €100 million capital pool, dedicated team, advisory committee including outside experts and approval process. The Commission presented the proposal to extend EBRD operations to the Southern and Eastern Mediterranean in December 2011.

Mr Alain Pilloux, EBRD's Managing Director for Industry, Commerce and Agribusiness, highlighted that the EBRD can bring together global venture capital investors and local actively growing companies. So far, there are very few venture capital investment funds in the region, so there is significant potential. Despite being home to an educated population and many technological innovations, the region in which the Bank operates is under-served by venture capital investment. Even Russia and Turkey, home to promising technology industries, do not have access to sufficient venture capital financing.

The EBRD will work with experienced venture capital co-investors to identify high-quality entrepreneurs and management teams with innovative ideas, and back these companies at the stage when they move from post product development to commercialisation or from an early revenue stage to a larger global market opportunity.