technology investment — technology investment — Cyprus has joined the second phase of the European Tech Champions Initiative (ETCI 2.0), a significant programme aimed at mobilising €80 billion to support over 1,500 fast-growing technology companies across Europe.
Technology investment: Support from EU Member States
The declaration backing this initiative was signed by Cyprus and 20 other EU member states, including Greece. The initiative was introduced on Friday during the Economic and Financial Affairs Council (ECOFIN) meeting in Brussels. The presentation was made by the European Investment Bank (EIB) Group, in collaboration with 21 EU nations, institutional investors, and fund managers.
Commitment to Innovation
By endorsing the initiative, Cyprus has reaffirmed its commitment to enhancing European innovation and improving access to growth capital for innovative companies. This second phase follows the achievements of the original European Tech Champions Initiative, which successfully supported 15 major investment funds and contributed to the emergence of 12 unicorns—companies valued at over €1 billion.
Aiming for Greater Capital Mobilisation
Under this new phase, the initiative aims to raise a minimum of €15 billion, which is approximately four times the size of the original 2023 fund. The EIB Group is expected to contribute up to €1.25 billion from its own resources. The initiative will extend its support beyond major investment funds, marking a first-time backing for mid-sized growth funds that exceed €300 million.
Investment Fund Goals
The objective is to establish over 100 investment funds, including up to 45 large funds that will invest an average of €200 million in qualifying companies. Additionally, a new European investment platform is set to be created, designed to connect investors with technology funds across Europe through a dedicated digital tool.
Leadership’s Vision
During the announcement, EIB Group President Nadia Calvino emphasised the programme’s role in providing European innovators with the necessary capital to thrive. “This is a decisive step to ensure that innovative companies created in Europe remain and thrive in Europe,” Calvino stated. She highlighted that the success of the first phase had laid the groundwork for this expanded programme, uniting all 27 EU member states alongside private investors.
Ambitious Expansion Plans
Calvino expressed that the ambition for the second phase is to quadruple the total capital mobilised, significantly increase the number of investment funds, and triple both the number of mega funds and the average investment per company compared to the first phase. Furthermore, she noted that ETCI 2.0 aligns with national initiatives such as Germany’s WIN and France’s Tibi programme.
A Unified Message from Europe
Calvino described the initiative as a strong message of unity and determination from the member states, the European Commission, the EIB Group, and private investors. Cyprus’s Finance Minister Makis Keravnos represented the island during the presentation and welcomed ETCI 2.0 as a crucial step towards bolstering Europe’s innovation, competitiveness, and technological sovereignty.
Supporting Growth and Resilience
Keravnos expressed that the initiative would bring together public and private resources, supporting the growth of Europe’s most dynamic technology companies while enabling them to expand internationally without losing their base in Europe. He stated, “We fully support this collective effort for stronger European capital markets, greater private investment, and increased strategic resilience for the European Union.”
