IFC commits $15m to VC fund

The IFC announced an investment in the second fund from venture capital firm Algebra Ventures.

IFC’s $15 million investment in Algebra Fund II will help support the growth of roughly 20 technology start-ups, primarily in Egypt but also in Africa more broadly. The fund, which has a target size of $90 million, will have a special focus on women-led businesses and those serving rural communities.

“We are delighted to see IFC return as a limited partner in our second fund, having invested in our first fund five years ago as well as directly into our portfolio. IFC has been one of our strongest partners since day one and believed in our vision when there was no venture capital to speak of in Egypt. We look forward to continuing to strengthen our partnership going forward,” said Tarek Assaad, managing partner at Algebra Ventures.

“With its young, tech-savvy population and large market, Egypt’s entrepreneurs are perfectly poised to drive change in the country’s economy – with the right support,” said Yasmine El-Hini, IFC Egypt country officer and acting country manager for Egypt and Libya. ”With this investment, we are helping to push the country’s start-up scene forward and encourage innovation.”

In 2016, IFC invested $10 million to co-anchor Algebra’s inaugural $54 million fund, which also attracted investments from Cisco Investments, the Egyptian American Enterprise Fund, and the European Bank for Reconstruction and Development.

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