Brief presentation

Legal  mandate
IØ’s legal mandate is to promote Danish investments in Central and Eastern Europe and thereby support the reformist countries in their efforts to achieve an increased economic, commercial and industrial development; and to enhance the possibilities for closer economic co-operation between Denmark and Central and Eastern Europe resulting in generally improved East/West relations, which will benefit Danish trade and industry, as well as the employment situation in Denmark.

What it offers
IØ offers capital and advice to joint venture enterprises in Central and Eastern Europe .

How it works
IØ participates as a partner in the joint ventures through committing equity capital and/or loans and through board membership.

Financial engineering
Due to IØ’s close contacts with Nordic, European, international and local financial institutions, IFU is often able to make complete financing arrangements on favourable terms.

Partnership
IØ works in a spirit of partnership with Danish and local applicants and maintains this spirit throughout the joint work in the investment projects. Based on its many years of experience with a wide range of investments, IØ acts in an advisory capacity during the preparatory and initial phases of investment projects.

Once the project is established, IØ takes a seat on the board of directors.

Size of investments
Both large and small projects, including pilot projects, are eligible for IØ financing. This flexibility suits both the needs of the countries in Central and Eastern Europe and the structure of Danish trade and industry.

Eligibility
To be eligible, a project has to be financed in part by a Danish business partner.

The project must further be evaluated as being a commercially viable project.

Green-field projects, expansion of existing projects and privatisation of state-owned enterprises are eligible.

In 2005, the Danish government decided that in the future, IØ can only operate in Russia, Belarus and Ukraine. Investments in the former IØ countries in Central and Eastern Europe with a 2008 GNI per capita below USD 3,084 (2010) are eligible for IFU investments. 

Experience from
424 projects in 18 countries.