Investing Dutch entrepreneurs
Are you a Dutch entrepreneur interested in emerging markets or developing countries? And do you need support to finance your plans? The Dutch government provides loans, participations, guarantees, export credit insurance and export finance (with a repayment obligation) through the Dutch Good Growth Fund (DGGF).
In order to qualify for DGGF, your company and project will have to meet several conditions.
- You must have a Dutch-registered business that carries out substantial activities in the Netherlands.
You must be an SME (according to the European definition).
- You must comply with the ICSR framework for international corporate social responsibility (pdf).
- Read more about the ICSR framework.
- You must have a robust business plan that explains how you will repay the loan. The DGGF finances viable projects only. All loans must be matched by a certain amount of risk on your part, e.g. in the form of a capital contribution.
- Your investment must contribute to the sustainable economic development of the DGGF country. This means you must contribute to local employment, production capacity and/or knowledge transfer.
- You can apply for up to €15 million.
- You must invest in a DGGF country.
- The DGGF prefers to cofinance projects with a commercial bank.
Read the specific conditions per part
DGGF for Starters
Do you have a new product for a DGGF country? Or do you want to introduce an existing product to a DGGF country? Securing financial backing can be difficult. However, the Netherlands Enterprise Agency can provide the financial support you need!
The Dutch Good Growth Fund (DGGF) helps Dutch starters that want to do business with developing countries and emerging markets. These may include:
- starters looking to launch or manufacture an existing product;
- innovative starters wanting to develop a new product for a DGGF country or to manufacture products there.
DGGF via participation funds
DGGF provided loans to participation funds. These funds helped Dutch entrepreneurs who were investing in developing countries. Both Buxeros Capital and the ForestEffect Fund (FEF) recieved a DGGF loan. This component of DGGF is now closed and will no longer process applications. However, Buxeros Capital still has budget to invest at the moment.
Buxeros Capital is a public-private fund set up to assist Dutch entrepreneurs entering emerging markets in 70 countries. The fund enhances access to regions with underserved capital markets, in particular in Africa and Latin America. Buxeros operates from the Netherlands, South Africa and Colombia. The DGGF has doubled the amount of investment by private shareholders in the fund.
The ForestEffect Fund (FEF) is a public-private investment fund. It specialises in companies which have a positive effect on the local economy in upcoming countries.
Overview current investments
See this overview of invest transactions.
Not suitable for DGGF yet?
Not all projects are suitable for financial assistance from the DGGF. Another scheme might be more appropriate for your project:
- The Dutch Trade and Investment Fund (DTIF) offers loans, guarantees and export financing to Dutch entrepreneurs that want to do business with countries that are not on the DGGF list. Read more about DTIF.
- If you first wish to learn more about a local market or a project’s feasibility, you might be eligible for the DHI (in Dutch) (demonstration projects, feasibility studies and knowledge acquisition).
The ongoing COVID-19 pandemic has disrupted emerging markets and developing countries on every continent.
During this period, you can still apply for DGGF. Please note that it may take us longer to decide on your application. Our team will continue to carefully assess all applications.
Have you received funding from DGGF Investing Dutch entrepreneurs, and are you having problems? Please contact your Investment Manager to discuss the possibilities.
We will continue to support Dutch entrepreneurs with international ambitions via loans and guarantees.