DAILY NEWS MART

News: CSF to establish business incubators
Name of the Newspaper: Daily News Mart
Date of publication: Friday, 31 August, 2007

HEC, CSF to develop and implement monitoring, evaluation system to ensure timely completion of the projects

By our correspondent ISLAMABAD: The Competitiveness Support Fund (CSF) , under its Business Incubators and Venture Capital window, would establish business incubators and promote venture capital to boost the knowledge-driven economy in Pakistan.

The business incubators would be established in the leading research institutions in Pakistan.
"CSF will also promote venture capital and encourage a number of relevant institutions to establish Business Incubators," it added.

In the long term, the Business Incubators will be expected to meet their operational expenses through returns from their equity investments.

The Venture Capital window, among other things, will be used to promote the creation of Business Incubators and provide funding for their incubator programs, it added.

However, Business Incubators will then make funds available to incubator companies and earn profits on the funds they receive for making loans and venture investments in incuba,tes and incubator graduates.

The CSF has three operational windows, including the Technical Assistance, Matching Grants and Business IncubatorsNenture Capital.

The Technical Assistance and Matching Grant windows of the fund are being supported by a grant ofUSS 12 million by the USAID, whereas the initiative of business incubators and venture capital will become operational by a matching grant of USS 10 million contributed by the Government of Pakistan for the next 5 years.

To make business incubation and venture capital a success in Pakistan, CSF has now undertaken initiatives working closely with the Higher Education Commission of Pakistan (BEC) which is a partner organization of the CSF.

Another essential component of the undertaking was envisioned to establish business incubators. HEC and CSF together will develop and implement a monitoring and evaluation system to ensure the successful and timely completion of the projects selected for the incubators.

Finally, CSF will explore the possible financial involvement of other relevant bilateral institutions to share the cost ofthe relevant projects as well, the press release concluded.