The International Finance Corporation (IFC), a member of the World Bank Group, has made a significant investment of $20 million in Revo Capital Fund III, a venture capital (VC) fund dedicated to supporting early-stage technology startups in Türkiye and the Central and Eastern Europe (CEE) region. This strategic move aims to boost innovation and unlock sustainable growth within the startup ecosystem of these rapidly developing markets.
The focus of IFC’s investment in Fund III is to address the critical funding gaps that many early-stage startups face. By channeling essential capital into high-growth potential companies, IFC is playing a pivotal role in nurturing the region’s entrepreneurial landscape. Notably, at least 70 percent of the funds will be allocated to startups in Türkiye, up to 20 percent to the CEE region, and up to 10 percent for ventures founded by Turkish diaspora entrepreneurs. The fund’s strategy aims to invest in 25 early-stage startups by 2030, with a particular emphasis on artificial intelligence (AI)-driven innovations across sectors like fintech, B2B SaaS, cybersecurity, health tech, energy, and gaming.
This partnership marks a continuation of IFC’s strong support for Revo Capital Management. The latest $20 million investment is the third major collaboration between IFC and Revo Capital, following previous investments of $8 million in Revo Fund I and €15 million in Revo Fund II. Both previous funds were instrumental in supporting startups during the COVID-19 pandemic, which saw a significant shift in the tech landscape.
Cenk Bayrakdar, the Founding Partner and Managing Director of Revo Capital, expressed his gratitude for IFC’s ongoing commitment as an anchor investor in Fund III. He stated, “We are grateful for IFC’s continued support, which reinforces their confidence in Revo Capital’s mission and Türkiye’s innovation potential. Our focus is on exporting technology from Türkiye and positioning the country as the research and development hub for these ventures. We are more than just investors; we are partners who work closely with founders to scale their businesses into global leaders.”
IFC’s support for Revo Capital also aligns with its commitment to fostering inclusive economic growth. As part of this strategy, IFC has assisted Revo Capital in developing a gender-lens investing approach, aimed at increasing access to capital for women-led startups in emerging markets. This initiative is part of IFC’s ScaleX Program, which seeks to promote gender equality and empower women entrepreneurs by increasing their access to early-stage funding.
Wiebke Schloemer, IFC Director for Türkiye and Central Asia, emphasized the growing importance of the region’s startup ecosystem, stating, “Our commitment to the startup ecosystem in Türkiye and CEE is stronger than ever. With steadily increasing investments, we reaffirm our belief in the potential of tech entrepreneurship in these regions. Our goal is to empower entrepreneurs to compete globally, while fostering job creation and promoting technology exports.”
Revo Capital Fund I and Fund II have already demonstrated significant success, having invested in companies that have shown considerable growth and innovation. Over the past five years, the valuation of startups in Türkiye has surged, increasing more than tenfold to reach nearly $37 billion in 2023. This growth underscores the dynamic potential of the Turkish startup ecosystem, which has become a hotbed for tech innovation.
IFC’s investment in Revo Capital Fund III is part of the organization’s broader strategy to support entrepreneurship and innovation, particularly in Türkiye, which is currently IFC’s third-largest country exposure globally. As of February 2025, IFC’s committed portfolio in Türkiye is close to $5.4 billion, highlighting the country’s critical role in driving regional growth and technological advancement.
By backing Revo Capital Fund III, IFC is not only empowering the next generation of tech entrepreneurs but also contributing to the long-term development of the startup ecosystem in Türkiye and Central Eastern Europe, positioning these markets as key players in the global innovation landscape.