The new company is merging the concepts of venture capital funds and business incubators to provide cutting-edge solutions for local startups. Venture capital is a form of financing that investors provide to startup companies and small businesses that are believed to have long-term growth potential, the statement said.

T-Vencubator stated that it aims to offer financial support and essential resources to Egyptian startups and aspiring entrepreneurs.

Reem Safi, the CEO of T-Vencubator, emphasized the significant role that startups play in bolstering the economies of developing nations, indicating the surge of startups in Egypt in recent years.

"We believe that technology is capable of solving many of the problems facing Egyptian society. Therefore, the focus will be on companies that provide solutions to the challenges that affect society using technology and artificial intelligence (AI)," she added.

Safi further disclosed that the specific target companies and investment volumes would be announced in 2024.

"Digitizing Egypt is a pivotal step toward a better future, and in an ever-evolving tech startup scene, we acknowledge that local insight, guidance, and financial support are indispensable for fostering innovation," said Hazem El-Samra, Head of Growth and Marketing at T-Vencubator.

Egypt intensified efforts to improve its business and investment climate, particularly in supporting startups.

In June, Prime Minister Mostafa Madbouly established a permanent cabinet unit dedicated to proposing policies, laws, and regulations that facilitate the growth and prosperity of local startups.

In December, Egypt came first in the Middle East and North Africa (MENA) region in terms of startup funding, with a total of $45.7 million.

Additionally, the country has been actively pursuing digital transformation efforts, with an investment of EGP 50 billion in digital projects as of October 2022, as per a previous statement by Minister of  Information and Communications Technology Amr Talaat.

These endeavours have yielded outcomes, with Egypt's digital exports reaching $4.9 billion during FY2021/2022 and further escalating to $5.5 billion in FY2022/2023.