Investment Fund for Developing Countries

Organizational profile:

The Investment Fund for Developing Countries (IFU) is a self-governing fund established by the Danish government. IFU offers advisory services and risk capital to companies wishing to do business in developing countries and emerging markets. IFU is the fund manager of the Danish SDG Investment Fund and the Danish Climate Investment Fund, among others. IFU has invested in 1,336 companies in more than 100 countries in Africa, Asia, Latin America and parts of Europe.

The Danish SDG Investment Fund is a public-private partnership, which will contribute to fulfilling the 17 UN Sustainable Development Goals through private sector investments. The fund offers advice and risk capital for projects supporting the development in strategic sectors in developing countries. The fund can invest across most sectors but has a specific strategic focus on renewable energy and climate, agribusiness and food, the financial sector, water as well as industry and infrastructure.

Financing Instrument: Equity, Loans, Guarantees

Project scale:  The Danish SDG Investment Fund invests equity directly in the individual project companies in the investment countries. The investment size ranges from DKK 100 million to DKK 250 million in each project. Therefore, additional equity or loan financing is required for a project to be realised.

Recipient countries/ regions: The Danish SDG Investment Fund can invest in most developing countries in Africa, Asia and Latin America as well as a small number of countries in eastern Europe. 

Recipient categories: Businesses

Eligibility Criteria: 

Any enterprise wishing to do business in one of the nearly 150 countries eligible for IFU investments can receive financing.
The requirements are:

• The business operation must be deemed to be commercially viable;
• Projects must have a development impact in the host country;
• The host country must be on the Organisation for Economic Co-operation and Development's Development Assistance Committee's list of countries eligible to receive official development assistance (ODA).

Application guidelines: Companies may reach out to the fund directly at ifu@ifu.dk with investment proposals.

Last updated: 24 August 2023