International Finance Corporation Invests €15 Million in Central and Eastern European Tech Fund

Warsaw, Poland—November 12, 2024—The International Finance Corporation (IFC) has invested up to €15 million in Cogito Fund II, a venture capital fund focused on supporting early-stage tech companies in Central and Eastern Europe.

Cogito Fund II aims to help innovative startups access the capital and resources necessary to develop and scale new technology solutions. The fund will primarily invest in Series A+ technology companies providing software-based enterprise solutions in sectors such as fintech and climate-tech.

The €125 million fund, which will focus on Poland and other CEE countries, has a target size three times larger than its predecessor Cogito Fund I, a 2019 vintage fund with €61.3 million in commitments. This significant investment aims to address the funding gap for matured technology startups as they seek to expand internationally.

Over the past five years, the combined enterprise value of CEE startups has increased by 2.4 times, totaling €213 billion. Startups and scale-ups backed by venture capital have experienced rapid growth, adding €21 billion in value during the same period. However, a recent study showed that the late-stage segment of the market remains shallow.

"We are excited to partner with Cogito Capital Partners to support the region's growth potential," said Ary Naïm, World Bank Group Country Manager for Poland and IFC Manager for Central and South Europe. "This investment will help accelerate digital transformation and build a regional ecosystem that aligns innovation, skills, and financing."

The €15 million investment made by IFC represents critical financial support, enabling the fund manager to reach its target size and execute its early-growth investment strategy.