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Czech Republic Launches €12 Million “Fund of Funds” for Ukrainian Start-Ups

by Roman Cheplyk
Monday, May 26, 2025
2 MIN
Czech Republic Launches €12 Million “Fund of Funds” for Ukrainian Start-Ups

New five-year vehicle will funnel capital through VC firms, boost Czech innovation, and aid Ukraine’s post-war tech revival

Key Facts

Item Detail
Fund Size €12 million (~CZK 300 million)
Structure Government-backed Fund of Funds managed by National Development Investments (NRI)
Time Horizon 5 years
Capital Mix ≥ 50 % private co-investment
Target Beneficiaries Start-ups affected by war, primarily Ukrainian founders
Czech Value Requirement ≥ 20 % of each investment must be spent in the Czech Republic
Legal Presence Portfolio companies must establish or maintain a Czech legal entity

How It Works

  1. Call for VC Funds

    • EU-based venture capital managers can now apply to receive commitments as limited partners from the Fund of Funds.

  2. Investment Mandate

    • VC recipients must deploy capital into start-ups with Ukrainian roots or other war-impacted founders.

    • Each start-up must create measurable economic value in the Czech Republic (jobs, R&D, taxes).

  3. Support Ecosystem

    • Portfolio companies gain fast-track access to CzechInvest, CzechTrade, innovation hubs, and export-financing tools.

Jan Kavalírek, Deputy Minister of Industry & Trade:
“This initiative strengthens our own innovation pipeline while helping Ukrainian entrepreneurs rebuild.”


Strategic Goals

  • Post-War Recovery – Provide Ukrainian founders with stable EU jurisdiction, funding, and infrastructure.

  • Czech Innovation Boost – Attract high-growth ventures to spur local R&D and job creation.

  • Private-Public Leverage – Use government anchor money to crowd-in at least 50 % private capital.


What’s Next?

Timeline Action
Q3 2025 Open competition for VC fund managers (EU-wide)
Q4 2025 First LP commitments awarded; fund documentation finalised
2026–2029 Deployment phase; start-ups onboarded, supported by Czech innovation agencies
2030+ Exit and recycling of returns into new recovery programs

How VC Firms Can Apply

  1. Eligibility: EU-registered, minimum three-year track record, focus on early- or growth-stage tech.

  2. Proposal: Detail investment thesis for Ukrainian or war-impacted founders and Czech value-add.

  3. Deadline: To be published on the Ministry of Industry & Trade and NRI portals.

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