Government Venture Capital (GovVC) Funds are a widely used policy tool across OECD countries to promote innovation. This paper introduces a taxonomy that distinguishes between different fund designs and serves as a practical guide for policymakers and researchers engaged in cross-country comparisons. It explores the rationales behind GovVC initiatives, particularly their role in seeding and complementing private venture capital markets. The taxonomy then highlights the various ways private actors can participate in GovVC programs, such as through external fund managers, private sector limited partners, co-investment partners, or experts on supervisory boards.
Understanding Government Venture Capital
A primer and a taxonomy
OECD Science, Technology and Industry Working Papers
