This article is a part of Poland Unpacked. Weekly intelligence for decision-makers
The Innovate Poland program is gathering momentum. PFR Ventures has opened the application process for Innovate PL FoF. As much as PLN 2.4bn (approx. EUR 560m) could be allocated to investments in private equity, private debt, and venture capital funds.
The government-backed Innovate Poland program has generated significant interest in the market and raised hopes for a revival of investment in Polish technology companies. In recent weeks, Bank Gospodarstwa Krajowego (BGK) and the European Investment Fund (EIF) announced the signing of the first agreements with funds supported under the Future Tech Poland initiative.
On April 20, 2026, PFR Ventures announced the first call for proposals under another component of the program – Innovate PL FoF. Private equity (PE), private debt (PD), and venture capital (VC) funds are eligible to apply. The total planned investment volume stands at PLN 2.4bn (approx. EUR 560m), including co-investments, and could increase as additional investors come on board.
The initial capital pool comes from BGK, the Polish Development Fund (PFR), and PZU, with PFR Ventures acting as the program operator.
“We will continue our investment activities, with one difference: until now we have operated independently, without external partners,” said Rozalia Urbanek, acting president of PFR Ventures.
Finance and Economy Minister Andrzej Domański stressed that Innovate Poland is intended to strengthen Poland’s competitiveness in global markets, with a coherent system for financing investment and innovation forming a key pillar of that effort.
Expert's perspective
A Step needed for the development of the investment market
For this reason, I see the launch of the call as a meaningful milestone – effectively the first close of the Innovate Poland FoF program. These are funds previously committed by PFR, BGK, and PZU.
At the same time, it is worth emphasizing that building a durable capital base – particularly a local one – is a long-term process. Mobilizing domestic capital, including funds from pension schemes and the banking sector, will require both continued educational efforts and regulatory changes, especially in the area of investment policies governing PPK and OFE.
In the current market environment, fundraising remains a significant challenge. Institutional investors (LPs) are now more selective and cautious than they were just a few years ago, which is hardly surprising given the global macroeconomic backdrop. This makes the broad set of initiatives undertaken by PFR Ventures to activate capital all the more noteworthy, including international efforts such as roadshows aimed at attracting foreign investors.
As PSIK, we actively support these processes – both through regulatory dialogue and through efforts to educate investors and build awareness of what it means to partner with private equity, venture capital, and private debt fund managers in Poland. We believe that the consistent efforts of all stakeholders will translate into further market development, greater access to capital for businesses, and long-term economic success.
New rules and fund selection
The program introduces an accreditation mechanism for members of the Innovate committee, granted by PFR Ventures, its largest investment partners, and market experts. Fund management teams applying to the call will undergo a verification process. In the future, accreditation may serve as a form of endorsement for private investors as well as other European and global partners.
“It is a mark of quality that will make it easier for funds to raise additional financing,” says Rozalia Urbanek.
Innovate PL FoF is aimed at experienced management teams that can demonstrate a track record and an established investment portfolio. An additional requirement is a strong link between the investment team and Poland.
In implementing the Innovate Poland program, PFR combines the role of investor with active market-building. As Mikołaj Raczyński, Vice President for Investments at PFR, noted, the goal is to attract further institutional investors and increase the scale of capital available to funds.
Investment structure and program scale
Sixty percent of the committed capital will be allocated to private equity funds, while the remaining portion will be distributed equally between private debt and venture capital.
As Rozalia Urbanek explains, the program pursues two objectives: commercial and ecosystem-related. On the one hand, it focuses on delivering returns; on the other, it aims to ensure continued financing for modern Polish companies.
Under the adopted rules, PFR Ventures’ participation will not exceed 40% of any single fund’s capitalization. The remaining capital must come from other investors, such as development institutions, institutional investors, or private capital providers.
The current program budget will allow support for more than 20 funds. The size of a single investment may range from EUR 5m to EUR 30m (approx. PLN 21m to PLN 130m), depending on the fund’s profile (VC: EUR 5–10m; PD: EUR 10–20m; PE: EUR 10–30m).
At the same time, PFR Ventures has announced the gradual phase-out of its existing programs – PFR PE and PFR VC – which targeted the same investor groups as Innovate PL FoF.
Expanding the investor base
One of the main objectives of Innovate Poland is to broaden the group of investors active in the fund market in Poland and across the region. This also includes increasing participation from new investor categories. Until now, engagement from the financial and insurance sectors, as well as large corporates, in technology investments has been limited.
Mirosław Czekaj, President of Bank Gospodarstwa Krajowego (BGK), stressed that the bank’s participation in the program is part of a long-term strategy. As a development bank, BGK not only provides capital but also helps create stable conditions for innovation-led growth. Each of the program’s pillars – Innovate PL and Future Tech Poland – has been allocated approximately PLN 1bn (around EUR 230m).
Expert's perspective
Capitalizing the best projects
For this reason, we have committed approximately PLN 200m (around EUR 46m) to the Innovate PL fund-of-funds, while reserving nearly PLN 800m (around EUR 185m) for the next stage in the form of co-investments. This means that a larger portion of capital will be directed toward recapitalizing the best-performing projects.
We aim to focus on engagement in private equity funds, an area in which we have not previously invested. We expect that BGK’s presence in Innovate PL will help fund managers attract additional capital – not only institutional. Our objective is the long-term support of the innovation investment market and the continued professionalization of Poland’s capital market.
Role of partners and next steps
PZU has become the commercial partner of the Innovate PL FoF program.
“We expect both a financial outcome and a tangible impact on economic development. Our experience shows that investments carried out by private equity and venture capital funds can combine attractive returns with the building of strong, competitive companies. These are exactly the types of firms we want to see in the portfolio of the new fund-of-funds, in which PZU is an investor,” said Artur Trela, President of TFI PZU.
PFR is currently in talks with further potential private and institutional investors. So far, however, no additional formal commitments to the program have been announced. The participation of new entities would further increase the program’s total capitalization.
Key Takeaways
- A key objective of the program is also to broaden the investor base and increase the activity of entities that have so far been less engaged in financing technology companies. The article highlights the importance of mobilizing domestic capital and building a long-term investment market. The program also envisages ongoing discussions with potential investors, which may lead to an increase in available funding in the future.
- PFR Ventures has launched the first call for applications under the Innovate PL FoF program. Up to PLN 2.4bn (approx. EUR 560m) may flow into the market. These funds will be allocated to private equity, private debt, and venture capital vehicles. The program represents the next stage of the broader Innovate Poland initiative, designed to stimulate investment in innovative enterprises.
- The program introduces new fund selection rules, including a verification process for management teams – a form of accreditation mechanism. It has also been established that PFR Ventures’ capital participation will not exceed 40% in any single fund, effectively requiring the involvement of other investors. This approach is intended to encourage a stronger inflow of private and institutional capital.