From Policy to Practice Actionable Recommendations for a Commercial Bioeconomy 2025

Mapping of category 3 recommendations across core activities connecting technology to marketFIGURE 5 10Government funding that is flexible and right sized to bio-innovationCategory 3 Blended financing that is government-driven and tailored for commercializing bio-innovation 8VCs and businesses to work more closely with governments to scale commercial bio-innovation 11Increased government funding for shared scaling infrastructure9Government provision of larger tranches of funding earlier in a company’s life cycle Piloting and scale-upPre- commercializationCommercializationRoutes to market Research and developmentDiscovery and ideationEarly-stage funding and business care Scale productionCustomers and consumers Demand In particular, governments are beginning to partner more closely with private sector investors, but with limited public resources there is no one-size-fits-all model, and financing gaps persist. To successfully address these challenges, tailored strategies that align with regional priorities are crucial, focusing on specific needs and harnessing local strengths. The following recommendations outline actionable pathways to strengthen and align financing mechanisms for accelerating the commercial scale- up of bio-innovation. Recommendation 8 VCs and businesses to work more closely with governments to scale commercial bio-innovation What if VCs, corporations and governments co-created funding models that align private sector risk with public sector support? To build a thriving commercial bioeconomy, VCs shouldn’t operate in isolation when funding bio-ventures. Increased government involvement alongside corporations and VCs in early-stage financing is crucial. Such a blended financing approach balances risk, incentivizes private investment and expands the pool of active bio-investors. Closer collaboration between governments and private investors will optimize investments, facilitate successful scaling and ultimately drive bio-innovation commercialization. 21 From Policy to Practice: Actionable Recommendations for a Commercial Bioeconomy