In a much needed move, the Information Technology Industry Development Agency (ITIDA) is planning to launch a startup fund to tackle the lack of investment in the market and help university students aspiring to be entrepreneurs all over the country.
According to the Daily News, The Information Technology Industry Development Agency (ITIDA), has set forth a plan to launch a start-up fund with capital ranging from $20M to $25M. Hussein El Gueretly former CEO of ITIDA explained there is a significant lack of funds being pumped into start-ups, and that compared to other countries Egypt is falling behind when it comes to entrepreneurship and start-up businesses. "Their is no clear vision for the field in Egypt," said El Gueretly.
The fund will focus on university students around the country, primarily focusing on those involved in practical learning, like at engineering and technology institutes and colleges. However, they are not limited to these areas only, citing that they will accept applications from any student regardless of area of learning. With the help of the Technology Innovation and Entrepreneurship Center (TIEC), they will be setting up shop in many universities around the country and the first phase of the plan will start with three governorates; Mansour, Marsa Matrouh, and Assiut.
The move comes actually comes at the same time as a similar private sector initiative that happens yearly and is taking place right now, Rise Up Summit. which is a hub for startups in the country, and among the things they do is connect investors with entrepreneurs. ITIDA on the other hand collects money from the private sector and the government; the private sector will be responsible for 80% pf the total sum with the government seeing the remaining 20%. ITIDA will pool these funds and then decide who will get what through demonstrations and presentations. Both movements are a breath of fresh air that is much needed to revive a bear economy that is refusing to come out of hibernation.
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