The joint meeting of the Board of Directors of the Iranian Venture Capital Association, attended by Dr. Noorollahzadeh, President of the Innovation and Prosperity Fund, was held today. The session focused on reviewing current issues within the innovation financing ecosystem, fostering policy coordination, and exchanging views on the design of new financial instruments.
At the beginning of the meeting, an overview was presented on the Association’s current status, membership growth, classification of active institutions, and trends in investments and financial facilities in recent years. This report provided the basis for expert discussions on the needs and challenges of the country’s VC ecosystem.
Review of New Guarantee Policies and Risk Management
One of the main topics of the session was the revision of the support line for guarantee contracts. In this regard, a new model for the backing mechanism of payment-commitment guarantees is being developed. The proposed model aims to enhance risk management for funds, increase financial agility, and better align with the needs of ecosystem stakeholders.
The issue of transforming the Insurance Fund into a Reinsurance Superfund was also discussed. This policy shift is designed to expand risk-coverage capacity, strengthen responsiveness to defaults, and smooth the cash-flow operations of funds. It was agreed that the Association will provide complementary private-sector proposals in this area in coordination with the Innovation and Prosperity Fund.
Seed Fund and Early-Stage Financing
The meeting also emphasized establishing a Seed Investment Fund and the mechanism for allocating its resources by the Innovation and Prosperity Fund. This initiative is expected to play a significant role in supporting early-stage investments and empowering emerging startups. Following through on financial commitments related to this fund was identified as one of the Association’s priorities.
Discontinuation of Bank-Based Guarantee Issuance
Another key decision announced in the meeting was the discontinuation of guarantee-issuance processes through the banking network, shifting fully toward direct issuance via Research and Technology Funds. This policy aims to increase speed, reduce costs, and improve the quality of guarantee issuance, thereby facilitating the execution of knowledge-based projects.
Development of New Regulatory Guidelines
According to the President of the Innovation and Prosperity Fund, several new regulatory and supervisory guidelines for funds are being drafted. These guidelines aim to modernize corporate governance, strengthen smart supervision, and improve financial mechanisms within funds. The Association is expected to provide specialized private-sector feedback during this process.
Strengthening the Association’s Role in Specialized Committees
The session also addressed the formal membership of the Iranian Venture Capital Association in the specialized working groups and committees of the Innovation and Prosperity Fund. The Association’s representative was appointed to the “Financial Instruments and Innovative Instruments Committee.” This participation creates an important opportunity to systematically convey private-sector perspectives and concerns into policymaking and decision-making processes.
Cooperation Outlook and the Role of Funds
During the meeting, Dr. Noorollahzadeh emphasizedThe Iranian Venture Capital Association held a joint meeting with the Innovation and Prosperity Fund to review innovation-financing challenges, discuss updated guarantee and risk-management policies, and examine new tools such as the Seed Fund. Key decisions included discontinuing bank-based guarantee issuance, drafting new regulatory guidelines, and formalizing the Association’s membership in specialized committees to strengthen private-sector engagement.:
“The Innovation and Prosperity Fund must act as the fund of the Research and Technology Funds, assuming a collaborative regulatory role and supporting the development of the innovation ecosystem.”
He also highlighted the importance of increasing the capital base of funds, strengthening their position within the financing network, and continuing collaboration with the Association to develop innovative financial instruments.
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