Norfund’s mandate is to contribute to the development of financially viable companies that have good corporate governance and sound environmental and social practices.
To maximise our impact, we invest in sectors that are important for facilitating business growth, job creation and poverty reduction:
Access to electricity is critical for economic growth, job creation and social development. Norfund contributes to improving access to reliable energy by investing in electricity generation projects where the need for capital is large. Clean energy is Norfund’s largest business area and constitutes about half of the portfolio.
A well-functioning financial system facilitates economic growth and reduces poverty. Providing access to capital via financial institutions, microfinance and SME funds is therefore the second of Norfund’s priority sectors.
Norfund has selected agriculture as its third priority sector. The sector employs approximately half of Africa’s workforce and plays an important role in its economy and development. Agricultural growth can drive overall economic growth and transformation, and has proven to be effective in reducing poverty in low-income countries.
Enterprises in these sectors provide employment opportunities, pay taxes and supply goods and services. We collect data on key development effects from all investees each year in order to monitor these effects. This reporting is aligned with the best-practice approach developed by the IFI Working Group on Indicator Harmonisation