The country that has led the world in promoting entrepreneurship has also done the most to plug itself into global markets. The Israeli government’s venture-capital fund, which was founded in 1992 with $100m of public money, was designed to attract foreign venture capital and, just as importantly, expertise. The government let foreigners decide what to invest in, and then stumped up a hefty share of the money required. Foreign venture capital poured into the country, high-tech companies boomed, domestic venture capitalists learned from their foreign counterparts and the government felt able to sell off the fund after just five years.
Schumpeter: Fish out of water | The Economist
One shining example of promoting private enterprise. Interesting enough in Kuwait we have a similar concept in the National Technology Enterprises Company (NTEC) which was founded and funded through Kuwait Investment Authority (KIA) in 2002 with KD 100 m in capital. I am not so sure it has done much so far.
