The "shark" Dobby Frances, one of the investors in Papaya Global, who came out yesterday against the CEO's announcement that she would transfer the company's funds from Israel to abroad, explains in an interview to "Israel Hayom" what is behind the post he published.
Frances, CEO and founder of the group 11 venture capital fund that manages assets to the extent of 1.6 billion dollars, says that in the end 'money talks'. "The Israeli economy is strong, groundbreaking and it
is the one that will dictate how things will go."
Is your colleague a "self-goal", that just raising the allegations can drive away investments from Israel?
"I don't want to address my colleagues individually. But as an investor whose 70% of all investments go to Israel, I can say that there is a big gap between the story we tell ourselves about the Israeli economy and the Israeli economy in practice.
The student demonstration, yesterday at the Namir intersection, photo: Gideon Markovich
"We all somehow become slaves to the headlines, and those headlines are built on what excites the public. Usually it's fear and terror, not hope.
"I am a man of hope. I am a man who looks forward and believes that it will be better."
Isn't that a bit naive?
"It's not that I believe in things naively. I believe because I look at numbers all day, and today the numbers of the Israeli economy are extraordinary. They are amazing.
"We are number one in the OECD in giving birth. Giving birth increases consumption and growth.
"Look at the GDP: last year we ended up with half a trillion dollars, that's a crazy number.
We are about 9.6 million people - that's 56 thousand dollars per person.
Where are such numbers?
The Israeli economy is amazing, so let's not tell ourselves otherwise.
You can't risk her because she's amazing.
No body politic will be put at risk.
And the governments change here every morning.
One can imagine what influence the governments that change all the time have."
Israeli governments have no influence on the economy?
"In governments that change new ones every night, there is no chance of having a substantial impact on the future of the country on an economic level. What does have an impact is our ability to invent, initiate and continue to grow.
"Fighting for democracy": hundreds of students demonstrated against the Levin reform at Ben Gurion University // Photo: Yaniv Zohar
"We are a technological power that has no second. On the list of global unicorns - which is the best barometer for high-tech success and has 1,200 unicorns with a combined value of 3.8 trillion dollars - we own 11% of the names. This is thanks to our engineers and our entrepreneurs.
"Therefore, no reform can change this. There will certainly be no panic from American, European or Emirati institutional investors, unless we continue to tell ourselves that we are victims. We are not victims."
Do not lose proportions
If not from an economic point of view, do you think we should worry about the legal reform at the civil level?
"My opinion, as a non-political person, I don't think that Yariv Levin's reform will be able to pass in its current form. Whoever is in the leadership of the country manages things in a balanced, responsible and considered manner. Will I elect him? Am I a bibist? It is irrelevant.
"Benyamin Netanyahu's past behavior is responsible, as well as the behavior of the left-wing governments. There are many forces operating in and outside the government that balance even those who shout loudly. In the end, money talks - the economy talks and the economy writes. And the Israeli economy is strong. There is no need to go crazy and lose proportion ".
What is your position regarding the involvement of personalities from the hi-tech industry in political issues?
"We, the finance managers, ended up getting money. We are not the owners of the money. Einat (Getz - SG) is not the owner of the money.
Justice Minister Yariv Levin presents his revolution in the judicial system // Photo: Yoni Rickner
"The money in the bank account of 'Papaya Global' is not hers, it's the money of her investors, guys like me. By the way, it's not our money either, it's the money of the institutional investors who gave us money. It's not their money either, it's the pension savers' money .
"Let's be professional - if you're a politician, then be a politician to the end and don't do politics with the money you save; if you're a CEO - manage to the end.
"Einat is a good CEO, the company is good and has a bright future."
But as CEO you cannot express a firm political position because in your position you represent broad interests. I have never spoken out about things that concern politics. I am wary of it like an explosive."
Aren't you worried about a snowball effect following papaya?
"There will be no snowball here, the impact of 'Papaya Global' on the Israeli economy is zero. I have invested about 2 billion shekels in Israel in recent years and most of the money is American. And I am going to intensify the investments in Israel."
"unconcerned"
Liva studies are not the government's priority. Don't you think that such social graduations will make it difficult for the economy to continue growing in the distant future?
"Absolutely not. I'm not worried about the ultra-Orthodox population, there are smart and talented people there who are slowly but surely integrating into other layers of the Israeli economy."
And yet, the continued non-integration of the ultra-Orthodox sector into the labor market could weigh on the tax burden that will be imposed on the general sector in the future?
"We are also expanding. I am not an educationist, but I believe that it is possible to train engineers in three months. The paradigm of what education is is a paradigm that will change in the coming years. Today in the employment market for every available person there are 1.7 jobs, there are more jobs than people, so we are far from what As you say, and at the demographic level, we are far from that."
Colleagues from abroad contacted you asking to know "what is happening in Israel"?
"No. No one is worried. We have to be careful that the story we tell ourselves doesn't accidentally become reality. In America, Europe and the Emirates, my colleagues only care about one thing - getting a return for their savers, a return for investment.
"Is it possible to get a good return on investments in Israel - whether it's real estate, infrastructure or technology or food? The answer is an unequivocal yes."
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