Norfund is a development finance institution established by the Norwegian Storting (parliament) in 1997 and owned by the Norwegian Ministry of Foreign Affairs. The fund receives its investment capital from the state budget, and surpluses in the portfolio are reinvested. Its head office is located in Oslo with local offices in Thailand, Costa Rica, Kenya, South Africa, Bangkok and Ghana.
Norfund is also part of EDFI, the Association of European Development Finance Institutions.
Mission
Norfund's mission is to create jobs and to improve lives by investing in businesses that drive sustainable development in developing countries. In addition, Norfund invests in the transition to net zero emissions in emerging markets. The fund assists in building sustainable businesses and industries in developing countries by providing equity capital and other risk capital in businesses that would not otherwise be funded. The goal is to be catalytic by mobilizing private and commercial capital.
The investments are done on commercial terms directly in companies or through local investment funds. Norfund invest in developing countries, and has chosen a strategic focus on Sub-Saharan Africa, and selected countries in Central America and South-East Asia.
Renewable energy, financial inclusion, green infrastructure and scalable enterprises are the four main areas in which Norfund invests. Norfund is mainly an equity investor (normally no higher share than 35%), but the fund can also issue loans.