News from 2025-03-28 / KfW Research

The German venture capital market after the boom and bust: Returning to a sustained upward trend should be the goal

The German venture capital (VC) market has developed positively over the past years and is now significantly more mature than a decade ago. Nonetheless, it still lags behind important international markets where more capital is available to start-ups. While the boom-and-bust phase that began in 2021 appears to have been overcome and much suggests that the market can continue on its growth path in the current year, targeted and long-term efforts are still required in critical areas of action in order for the market to develop on a sus¬tainable basis. The mobilisation of private capital for venture capital investments is particularly crucial for this.

The German venture capital market after the boom and bust: Returning to a sustained upward trend should be the goal

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