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Israel Launches Fund to Entice Institutional Investment in Tech Firms

A man rides a bike next to a message in support of hostages kidnapped in the deadly October 7 attack on Israel by Hamas, in Tel Aviv, Israel, April 21, 2024. REUTERS/Hannah McKay
A man rides a bike next to a message in support of hostages kidnapped in the deadly October 7 attack on Israel by Hamas, in Tel Aviv, Israel, April 21, 2024. REUTERS/Hannah McKay
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Israel Launches Fund to Entice Institutional Investment in Tech Firms

A man rides a bike next to a message in support of hostages kidnapped in the deadly October 7 attack on Israel by Hamas, in Tel Aviv, Israel, April 21, 2024. REUTERS/Hannah McKay
A man rides a bike next to a message in support of hostages kidnapped in the deadly October 7 attack on Israel by Hamas, in Tel Aviv, Israel, April 21, 2024. REUTERS/Hannah McKay

Israel's government has launched a new fund to encourage institutional investors to boost investments in high-tech companies, the Israel Innovation Authority said on Sunday.
The tech sector is a key driver of Israel's economy, accounting for close to 20% of output, 12% of jobs, more than 50% of exports and 25% of tax income.
"The high-tech sector is a central and significant pillar of the Israeli economy, and we must ensure diversity in its sources of funding," Reuters quoted Finance Minister Bezalel Smotrich as saying.
"We are in a period where we need to plan a strategy for transitioning from war to growth, and smart investment in Israeli high-tech is one of the first steps we are advancing," he said, referring to Israel's six-month-old war with Hamas in the Gaza Strip.

Traditionally most investment has come from venture capital funds rather than institutional investors. The new Yozma 2.0 fund aims to change that, offering insurance companies, pension funds and other institutional investors a mechanism to enhance returns on their investments in tech-focused Israeli venture capital funds over the next 20 months.
The fund is being launched by both the innovation authority and finance ministry and will direct $160 million in public money to venture capital funds supporting Israeli tech companies.
The Israel Innovation Authority said it would contribute 30 cents for every dollar of institutional investment as part of the program. It will also waive its relative share of returns from these investments, either fully or partially, with the aim of enhancing returns for the institutions involved.
Alon Stopel, chairman of the authority, said the move is designed to support early-stage Israeli tech companies, particularly those in deep technology sectors, and ensure a "robust funding environment" for Israeli startups in the coming years.

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Fire, Smoke Upend Western Canada’s Summer Tourism Season

A helicopter works a forest fire outside of Jasper, Alberta, Canada, on Friday July 26, 2024. (Reuters)
A helicopter works a forest fire outside of Jasper, Alberta, Canada, on Friday July 26, 2024. (Reuters)
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Fire, Smoke Upend Western Canada’s Summer Tourism Season

A helicopter works a forest fire outside of Jasper, Alberta, Canada, on Friday July 26, 2024. (Reuters)
A helicopter works a forest fire outside of Jasper, Alberta, Canada, on Friday July 26, 2024. (Reuters)

Severe wildfire seasons are increasingly hurting western Canada's lucrative tourism industry, with some visitors beginning to avoid the busy late-summer months due to concerns about uncontrolled blazes, smoke-filled skies and road closures.

After a scorching start to July, nearly 600 wildfires are now ablaze across British Columbia and Alberta, including a huge fire that this week devastated the picturesque tourist town of Jasper in the Canadian Rockies.

Dozens of communities, including popular holiday spots in British Columbia's Kootenay region, are under evacuation orders and several highways are closed.

This year's surge in wildfire activity comes after Canada endured its worst-ever year for wildfires in 2023, when more than 15 million hectares (37 million acres) burned, including parts of the city of West Kelowna in the heart of British Columbia's wine region.

Ellen Walker-Matthews, head of the Thompson Okanagan Tourism Association, said the industry was seeing a lot more last-minute travel decisions instead of booking in advance.

"It's a huge blow. July and August are traditionally the busiest months in the region," said Walker-Matthews, adding that while her region has been relatively unscathed by wildfires this summer, some visitors are choosing to avoid interior British Columbia altogether.

The members of the British Columbia Lodging and Campgrounds Association are reporting a 5-15% drop in bookings from a year ago, with the biggest declines coming from the hotter Okanagan and Cariboo regions, said Joss Penny, who heads the association.

"The concern is that this is something we have to live with and we have it every year now," said Penny.

Although wildfires in Canada's forests are natural and common, scientists say drier, hotter conditions fueled by climate change are leading to more volatile and frequent blazes.

'SMOKEY SKIES'

Some events, like the Salmon Arm Roots and Blues Festival, usually held in August, have now been rescheduled to earlier in the summer to avoid what is now seen as peak smoke season. The festival, which was cancelled last year due to nearby wildfires, was this year moved to July to benefit from "less smokey skies."

Wildfires and extreme climatic events are prompting tourists to "change their plans not just temporarily, but permanently," said Elizabeth Halpenny, a tourism researcher and professor at the University of Alberta, noting that seasonal workers in the sector are often the hardest hit as they have few protections during a bad season or amid a cataclysmic fire.

Tourism contributed C$7.2 billion to the British Columbia economy in 2022, and C$9.9 billion to Alberta in 2023, according to the latest government data.

Jasper National Park is one of Canada's premier tourist destinations, with more than 2 million visitors a year flocking to see its pristine mountain landscapes and abundant wildlife, including grizzly bears, moose and elk.

Kelly Torrens, vice-president of product at international tour company Kensington Tours, described western Canada as a bucket-list destination. But the company now has 49 trips that were supposed to pass through Jasper this season in limbo. Six others were forced to evacuate the park when the fire hit.

Parks Canada has cancelled all camping reservations within Jasper National Park until Aug. 6 and with potentially 50% of the town's structures destroyed by fire, the cleanup and rebuild could take years.

Halpenny is among those hedging their bets.

"I've booked a campsite stay in the mountain parks but at the same time, I booked a campsite out on the prairie somewhere and that's my backup plan because I don't want to miss out on my vacation with my family."