Germany has created a US$12 billion fund to speed up the growth of startups in the technology sector. The country sees such companies as key to creating the jobs of the future. The money will be used to address the difficulties startups face when trying to raise venture capital, Bloomberg reported.
“Startups are motors of structural change,” Economy Minister Peter Altmaier told reporters in Berlin on Tuesday, June 22. “They create jobs and secure the basis for future prosperity and growth in Germany and Europe.”
German Finance Minister Olaf Scholz said that female founders are underrepresented in tech startups, a problem that should be dealt with soon. Scholz is running on the Social Democratic Party ticket to succeed Christian Democrat Angela Merkel as chancellor.
Such German startups as FinTech N26, air-taxi maker Lilium and travel platform Omio raised about US$4.5 billion last year. However, the biggest rounds were led by foreign investors, according to consulting company EY.
Want more news? Subscribe to CPI’s free daily newsletter for more headlines and updates on antitrust developments around the world.