Saturday, September 21, 2019

Business / DT-18 / 2004

Report proposes untying prestigious Nordic fund or closing it down

The Helsinki-based Nordic Development Fund (NDF) faces drastic challenges. An evaluation proposes that NDF should be untied and turned into an infrastructure specialist. The donors’ tendency to shift to budget support and pooling of resources is likely to undermine NDF, which focuses on projects. The report states that NDF will have to adjust to a new aid agenda or be closed down.

Weaknesses and strengths of NDF

One of NDF’s great assets is its Nordic umbrella network of suppliers. According to the evaluation by Nordic Consulting Group, the Fund benefits from promoting Nordic development aid priorities, while acting together with regional banks or the World Bank in countries where the Nordics also have bilateral presence.

Finland aims for further opening of aid consultancy market

More changes can be expected in the Finnish aid market in the near future as the Ministry for Foreign Affairs adapts its organisation and policies to deal with the growing aid budget.

Norfund fully behind SN Power’s India hydro project

Norfund is fully behind SN Power’s recent decision to invest in the 192-megawatt Allain Duhangan hydro-electric project in Northern India. (See DT 17/04) The decision was made public a week after the International Finance Corporation announced its involvement in the project.