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Czechia Investment in key sectors
Investment in key sectors in Czechia: technology and education
Czechia continues to thrive thanks to significant investments in technology and education, which play a vital role in enhancing its economic resilience and boosting its competitiveness. Both public and private investments have been pivotal in developing a robust innovation ecosystem and improving the quality of life across the country.
Technology sector: a strong foundation for future growth
In the technology sector, Czechia has seen substantial public investments aimed at building infrastructure for a sustainable and technologically advanced future. In 2023, the European Investment Bank (EIB) allocated an impressive €1.88 billion towards regional development and economic resilience in Czechia. A key focus of this investment was technology infrastructure, with a particular emphasis on projects that not only stimulate economic growth but also contribute to the country’s green transition. This strategic funding supports not only the tech ecosystem but also the country’s broader goal of improving citizens’ quality of life.
Additionally, the International Finance Corporation (IFC) has contributed to the growth of Czech tech companies. As of FY23, the IFC’s long-term investment portfolio with Czech sponsors reached $236 million. These funds have supported various technology-driven initiatives, especially those with a focus on innovation, sustainability, and the digital economy, benefiting a range of tech startups across the country.
On the private investment side, in 2024, the Czech Republic’s venture capital market is projected to reach a total capital raised of approximately $92.39 million (Statista). This figure reflects the country’s growing appeal to investors, particularly in the technology sector, which has seen a surge in funding rounds. The Czech startup ecosystem is characterised by a strong culture of entrepreneurship and innovation, supported by government policies and a stable economic environment. These factors have collectively contributed to the increasing volume of venture capital investments in the country.
Czechia’s technology sector continues to attract high-profile funding rounds, such as Productboard’s €125 million Series D, Kiwi.com’s €30 million Series D, and Spaceti’s €7 million Series C. These deals highlight the strong potential for startups to scale globally, further solidifying Czechia’s position as a tech hub in Central Europe.
Education sector: strengthening the nation’s knowledge economy
In the education sector, Czechia is making equally impressive strides. According to the Czech Statistical Office, the government’s public expenditure on education was 4.3% of GDP in 2022, highlighting the country’s commitment to enhancing educational infrastructure and ensuring that the next generation of students is equipped to meet the demands of a rapidly changing world. A significant portion of these funds has been directed towards the modernisation of educational facilities, ensuring that schools and universities are not only up to date but also well-equipped to foster a highly skilled workforce.
The European Investment Bank has also played a pivotal role in shaping the future of Czech education, allocating 26.83% of its activities towards projects designed to improve the educational environment. One example of this is the urban renewal projects in Plzeň, which aim to revitalise the city and create modern, sustainable spaces for learning. Another key project is the modernisation of Masaryk University in Brno. This university now boasts cutting-edge research and teaching facilities that serve 6,000 students and researchers, providing an innovative learning environment that nurtures future leaders in science and technology.
On the private investment side, according to the World Bank, global tech giants such as Microsoft and IBM have been instrumental in driving forward STEM education and digital skills development. Their investments are helping to equip Czech students with the skills needed to thrive in the digital age, supporting a future workforce that can drive technological innovation. Alongside these contributions from global corporations, Czech-based EdTech startups are also emerging as key players in the education sector. Companies such as Edupage, which raised €5 million to expand its digital learning platform, and SIXD, which secured €3 million to enhance its educational technology solutions, are helping to redefine how education is delivered in the country. These startups are not only growing their impact in Czechia but are also expanding internationally, positioning Czechia as a hub for educational innovation.
Public-private partnerships: enhancing infrastructure and innovation
The role of public-private partnerships (PPPs) has been crucial in both the technology and education sectors, driving forward key infrastructure projects and fostering collaboration between public institutions and private companies. In education, PPPs have facilitated the construction of modern science laboratories and digital classrooms, ensuring that Czech students have access to the tools and resources they need to succeed. These partnerships are also helping to improve access to education across the country, with a focus on ensuring that all regions benefit from cutting-edge educational infrastructure.
Additionally, research collaborations between Czech universities and private enterprises are becoming increasingly common. These collaborations bring together academic research with industry expertise, creating a dynamic environment that encourages innovation and drives the development of new technologies and solutions. Joint funding from both public and private sectors allows universities to push the boundaries of research, while private companies can tap into the latest academic insights to solve real-world problems.
Learn more about Czechia’s investment key sectors
Czechia Innovation index
Czechia continues to solidify its position as a leader in innovation, boasting impressive rankings in global innovation indices, a strong patent portfolio, and substantial investments in research and development (R&D). These factors highlight the country's dynamic approach to technological advancement and its commitment to fostering a knowledge-based economy.
Czechia Export/Import Ratio
The Czech Republic has long been known for its robust industrial base, and in recent years its high-tech sector further solidified its position as a key player in global trade. The nation demonstrated its prowess in the export of technology products, showing a healthy export-to-import ratio that highlights its competitive edge in the high-tech sector.
Czechia Startup density
Czechia has emerged as a dynamic hub for startups in Eastern Europe, combining strategic location, a highly educated workforce, and increasing access to funding. With steady growth and recognition on global and regional stages, its ecosystem is attracting both talent and investment, making it a rising star in the global startup scene.
Czechia Funding volume
The Czech Republic continues to establish itself as a vibrant hub for venture capital activity in Eastern Europe, with 2023 proving to be a landmark year for the nation's startup ecosystem. According to Dealroom, with a total of €173.1 million raised, Czechia secured the fourth position in the region for total capital raised, showcasing its growing appeal to investors and innovators alike.
Czechia Investment in key sectors
Czechia continues to thrive thanks to significant investments in technology and education, which play a vital role in enhancing its economic resilience and boosting its competitiveness. Both public and private investments have been pivotal in developing a robust innovation ecosystem and improving the quality of life across the country.
