Changes to Business Partnership Support encourage companies operating in developing countries to develop their business through piloting

Finnpartnership supports commercial business activities that create positive development outcomes in developing countries. From the beginning of 2024, piloting in the target countries will be allowed for companies with established operations in these countries. The percentage of support concerning the least developed and fragile countries will fall, whereas that for SMEs in lower-middle-income countries will rise.

Finnpartnership Business Partnership Programme, which is funded out of Finland’s development cooperation appropriations, has updated its terms and conditions, and the amendments will take effect as of 2024. Piloting will be allowed for companies that have already established their presence in the target country. In addition, the percentage of support for the least developed and fragile countries will be reduced. This means that the amount of support for projects targeted at these countries can cover at most 75 per cent of the costs instead of the earlier 85 per cent.

The only exception is Ukraine. Business Partnership Support can continue to cover up to 85 per cent of the costs of projects targeted at Ukraine. The aim is to increase support to Ukraine in the midst of the war and as the country prepares for reconstruction. Finnpartnership offers one way of strengthening cooperation between Finnish and Ukrainian operators.

At the same time, the percentage of support for SMEs in lower-middle-income countries (LMIC) will be raised to 75 per cent. From a Finnish viewpoint, LMICs are target markets associated with a high country risk.

In addition, piloting will be added to eligible activities in project phase 7: development of existing business in the country of operation. This will enable companies to continue or deepen their presence in the project’s target country.

Support for the piloting of technology and solutions will make it possible to align Finnish expertise to the needs of developing countries. Business Partnership Support encourages companies to enter into developing markets. The amendments to the terms and conditions of the support make the piloting of technology and solutions an eligible activity for companies that have already established operations in the target country.

The updated terms and conditions will be published on Finnpartnership’s website(Link to another website.) on 2 January 2024.

Finnpartnership supports commercially sustainable and responsible business activities that create positive development outcomes in developing countries

Funded the Ministry for Foreign Affairs and managed by Finnfund, Finnpartnership Business Partnership Programme offers advice on business activities, funding for project preparation and contacts that help launch sustainable business activities in developing countries. Business Partnership Support is seed money for business activities that have a commercial financing base and that have positive development effects in the target country.

Business Partnership Support may be granted for searching for a partner, for planning activities and for training employees, among other uses. Support may also be granted for reinforcing existing business activities, for follow-up projects and for pilot projects.

The services offered by Finnpartnership are free of charge. They are intended for use by companies, non-governmental organisations, educational institutions and other bodies. Applications for Business Partnership Support can be submitted year-round.