On Thursday, August 15, 2024, Dr. Hossein Afshin, Vice President for Science, Technology, and Knowledge-Based Economy, met with the Board of Directors of the Iranian Venture Capital Association.
This meeting was held as part of the Vice Presidency’s ongoing engagement with specialized institutions active in innovation financing and served as an opportunity to explore strategies for enhancing the role of venture capital in the development of the country’s knowledge-based economy.
During the meeting, the Vice President emphasized the importance of associations and professional organizations and highlighted three main priorities of the Vice Presidency: financing, innovation, and human capital development, alongside infrastructure.
His emphasis on financing as a top priority reflects the government’s particular focus on strengthening the venture capital ecosystem as a key enabler for the growth of startups and knowledge-based companies.
This prioritization mirrors the Vice Presidency’s comprehensive approach to linking economic, technological, and human capital issues in pursuit of sustainable development within the knowledge-based ecosystem.
Later in the session, Seyed Mohammad Hossein Sajadi Neyri, Chairman of the Board of the Iranian Venture Capital Association, raised several critical issues facing the innovation financing ecosystem.
He emphasized the need to facilitate the implementation of the “Knowledge-Based Production Leap Act,” expand venture capital capacity as a cornerstone of knowledge-based economic development, leverage capital markets (including the stock exchange and over-the-counter markets), remove barriers to startup listings, utilize crowdfunding capabilities, shape policy for improved early-stage startup investment, and strengthen experienced General Partner (GP) institutions.
These remarks reflected the concerns of private-sector stakeholders regarding the enhancement of the national innovation financing system.
At the conclusion of the meeting, the Chairman of the Association proposed several areas of cooperation between the Association and the Vice Presidency, including:
- Utilizing the Association’s members in the financial provisioning and brokerage mechanisms of the Vice Presidency;
- Enhancing the venture capital capacity of Association members by facilitating license issuance, introducing incentives, and offering risk coverage in cooperation with the Innovation and Prosperity Fund;
- Assigning the initiative for establishing a “Venture Bank” (in lieu of a knowledge-based bank) to the Association and supporting its realization;
- Developing and implementing a framework for improving the performance quality of investment funds;
- Organizing a national innovation financing event led by the Vice Presidency and the Innovation and Prosperity Fund, spotlighting influential ecosystem figures;
- Supporting the Association’s participation in key decision-making bodies related to innovation financing (e.g., Naofarin listing committee, VC fund listing processes, and crowdfunding platform approvals).
These proposals reflect the Association’s commitment to offering practical solutions to current challenges and expanding the existing capacities within the country’s venture capital landscape.
In closing, the Vice President highlighted his emphasis on cooperation with professional associations and the importance of holding such meetings promptly. He expressed hope that such strategic discussions would continue regularly and productively.
The continuation of these sessions could lead to greater alignment between public institutions and the private sector in the area of venture capital and support improved governance of innovation financing systems.
No comment