Budget Commentary Series – Ms. Fawzia Naqvi

Aug 2, 2023

Fawzia Naqvi is the Advisor to the Board of Directors at the Institute of Development & Economic Alternatives (IDEAS).

In this podcast, Fawzia Naqvi shares her comments on the allocation of PKR 5bn (approx $17m) for Venture Capital Funding in the 2023-24 Pakistan Budget.

Key Takeaways:

The Venture Capital Fund allocation in the latest budget provides great potential for impact, provided that it is “well-structured, well-governed and well-implemented.”

What role can a govt supported VC Fund play in catalysing the startup ecosystem in Pakistan?

  • De-risking other investors at the earliest stage of the startup’s life
  • Providing entrepreneurs with a menu of financial tools such as credit guarantees and affordable, structured debt
  • Capping equity position so as not to disenfranchise entrepreneurs
  • Attracting impact investors for side by side investments into startups, playing a catalysing/incentivising role for innovators