Chart

This chart compares the density of entrepreneurial activity within a country, as measured by the ratio of start-ups per capita with the level of per capita investment. Unsurprisingly, the data follows an intuitive trendline; the denser the relative number of start-ups activity within a country, the greater the level of per capita investment. It is unsurprisingly not a perfect correlation. Sweden, for example, has seen materially higher levels of investment per capita relative to the density of startup activity. Estonia, although it ranks amongst the highest for 'per capita investment levels', is arguably underinvested relative to the density of start-up activity in the country, although the gap is not as pronounced as in nearby Lithuania. Italy also stands out as a country that has an underdeveloped private capital market.