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What We Offer

Danida Business Finance (DBF) can provide access to finance and can leverage finance for sustainable infrastructure in developing countries based on the countries’ development strategies, delivering measureable results toward the SDG’s that creates growth and employment in developing countries.

Danida Business Finance (DBF) offers subsidised loans to infrastructure projects in developing countries with income per capita below USD 4,035 and with a Danish representation (see country list). The projects must contribute to sustainable development in the recipient country in line with the UN Sustainable Development Goals (SDG).

A typical loan has 10 years maturity and is issued in USD or EUR. The DBF-subsidy covers:

  • Interest in the whole duration of the loan
  • Export Credit premium and other financial costs
  • Cash grant to reduce the principal of the loan (in case interest, premium and financial costs do not constitute 35% or 50% subsidy level, a cash grant is included in the subsidy to reach the minimum levels required by OECD)

The buyer/borrower repays the loan in equal, semi-annual instalments, normally starting six months after the commissioning of the project. The borrower will pay only a commitment and a management fee.

Only projects that are commercially non-viable can be financed; that is projects that do not generate enough profit to service a loan on commercial terms.

There are two approaches under DBF:

  • DBF Classic: Tender limited to DK companies where DBF support has been approved prior to tender
  • DBF Fast Track: International tender where DBF can provide support in case a DK company is the best evaluated bidder (DBF support approved after tender evaluation)


Ministry of Foreign Affairs
DB Finance
Asiatisk Plads 2
1448 Copenhagen K

Telephone: (+45) 3392 0255
Fax: (+45) 3392 0020