ief9 sept18
TRANSCRIPT
Alignment of sustainable public policy with the interests of the Smart Money
- Legacies of the Global Crisis
A. Mete ÇAKMAKCITechnology Development Foundation of Turkey
9th International Entrepreneurship Forumİstanbul, 18 September 2009
An Engineer’s View of the Crisis
Panic Despair & Confusion A Confident Vision
DisgustRegulationRestructuringReform
Smart Choices & PoliciesRejection of old ways…
An Account of the Past Realities of Today A Sustainable Future
towards a New World Order of Peace and Prosperity
Emotions are running high…
We feel the pain
• Contracted demand for goods and services, swollen inventories.
• Increased payment delays• Shortage of working capital, decreased liquidity• Increased insolvencies and bankruptcies• Reduced demand for credit to finance• Tightened lending conditions and increased cost of finance
Rush to government ‘rescue’ programs is causing reflexes and funding problems – crowding out of routine innovations?
Fighting the Reflexes
• Government intervention should target long term capital investments (including intellectual capital) to promote innovation, should avoid urges of ‘cheap populist financing’. (respect competitive market powers and innovation cycles)
• Consumption and trade should be integrated to support the long term investments, should avoid ‘hay flame’ type of consumerism.
• Growth should be designed to be sustainable and organic. (must avoid past models of growth on steroids.)
Putting Public Money to WorkGovernments are talking …
Smart money is listening …
What is Cleantech?
Source : GreenTech Media
Cleantech is a rich but complex innovation domain …
Cleantech is still Fragile
Source : McKinsey
And cleantech is still away from market parity.
VC for Cleantech
Source : Cleantech Group
In 2008 China’s share of global cleantech investments was 8%.
Moving Away from Knowledge
A Vision for Public Policy• Global crisis must provoke a new thinking of public policy.
• There is still need for a strong public policy vision, however the new vision should support and yield initiative to `smart money`.
• New statism should involve interim and flexibly adopting government roles to provoke sustainable commercial ecosystems of innovation.
• We need to think beyond direct financial measures into policy infrastructures such as in public procurement, taxation and market deregulation in support of young innovative companies with new business models.
Who is TTGV?
TTGVA foundation
TTGVA foundation
Teknoloji Yatırım A.Ş.A dedicated start-up investment vehicle
managed by an independent team
Teknoloji Yatırım A.Ş.A dedicated start-up investment vehicle
managed by an independent team
TURKVEN - TPEF 1TURKVEN - TPEF 1
İŞ GirişimİŞ Girişim
iVCiIstanbul Venture Capital InitiativeA dedicated Fund-of-funds SIF structure
for VC/PE funds focusing on Turkey managed by the EIF
iVCiIstanbul Venture Capital InitiativeA dedicated Fund-of-funds SIF structure
for VC/PE funds focusing on Turkey managed by the EIF
TDF A soft loan scheme upto 1 M USD per project
almost 250 M USD disbursed since 1991
TDF A soft loan scheme upto 1 M USD per project
almost 250 M USD disbursed since 1991
ShareholderShareholder
InvestorInvestor
InvestorInvestor
ShareholderShareholder
Administrator/Administrator/Co-lenderCo-lender
Regional and Sectoral Capacity Development Programs
Social Capital, Clustering, RIS
Regional and Sectoral Capacity Development Programs
Social Capital, Clustering, RIS
FacilitatorFacilitator