On the 27th local time, the German Federal Parliament approved a future fund project of 10 billion euros for start-ups.
These funds will be mainly used by entrepreneurs with expansion plans.
It is reported that 2.4 billion euros will flow to venture capital investors and companies next year through the Renaissance Credit Agency, European Investment Fund and high-tech venture capital funds.
By 2030, the total amount of funds will reach 10 billion euros, and it can attract at least 20 billion euros of private investment.
The federal government’s plan is generally regarded as a positive signal, believing that although there is a high investment risk, public institutions can even make profits from it.
Robert Hermann, general manager of the German Federal Agency for Foreign Trade and Investment, welcomed this.
He said: “This is exciting news.
Business advocates have long called on young German companies to make better use of domestic venture capital, and the German federal government and parliament now meet the relevant needs.
At the same time, such a large amount shows that there are positive changes to boost confidence even in the current economic turmoil.
Especially for young and innovative companies, this may be a good time to consider expanding its German territory.”