Video gaming, e-sport and AI start-ups to benefit from government venture capital fund

Government will soon launch a €10 million venture capital fund to provide equity investment for start-up companies involved in key technology sectors, the Economy Minister said.

Silvio Schembri said each start-up will be able to benefit from €500,000 in equity investment.  

The sectors that will benefit from the fund are: Video gaming, e-sports, ICT, fintech, life sciences, pharma, green energy, the filming industry, agri-tech, AI, communications, electronics, financial services, medical devices, software, VR, bluewater industries and digital technologies.

Schembri made the announcement during the official opening of the first ever TECHXPO being held in Malta.

“The first stages for any start-up are the most difficult, particularly if the sector is not a traditional one… we felt the need to intervene as a government in a bid to help them find their way,” Schembri said.

Start-up companies that are in the commercialisation stage will be able to make use of this fund. The scheme, the Malta Venture Capital Scheme, will be managed by Malta Government Investments and eventually a specific company, Malta Government Ventures, which will be set up solely for this purpose.

A board of directors will also be set up with the aim of defining the investment policy of this scheme. The Board of Directors will comprise of representatives from government entities that provide most support to the private sector. A committee will assist the board when it comes to reviewing the applications.

“This government is committed to continue working in favour of sustainable economic growth, to welcome innovation and to be at the forefront of the digital revolution,” the minister said.