Subsidies

Dutch programs

There are several programs aiming at the development of countries in Africa. One of the main conditions is that the project is that due to the high risks involved the project will not be liable for financial assistance from local banks. It also should not compete with existing activities. In most cases cooperation with Dutch companies is preferable.

 

A PSI project is an investment project, implemented by a Dutch (or foreign) company together with a local company, in one of the eligible developing countries. If this investment meets the criteria, it can be eligible for a grant by PSI. This grant consists of a financial contribution to the costs of the investment.

The goal of PSI is to stimulate sustainable economic development through promoting innovative pilot investment projects in developing countries. The aim is to provide an important contribution to reducing poverty, by creating economic activity, employment opportunity and improved income.

The PSI subsidy consists of a contribution to those costs directly associated with implementation of the project. For PSI Regular, the contribution is 50% to 60% of eligible subsidy costs depending on the country, of a project maximum of EUR 1,500,000.

Costs considered eligible for subsidy consist of:

- Costs for sustainable capital goods (hardware), except existing buildings and land.

- Costs for technical assistance, such as project management, training, advisory costs, certification.

Costs incurred prior to the granting of subsidy are not eligible for support.

 

This program is funded by the Dutch Minister for Development Cooperation to encourage public infrastructure development in developing countries.
ORIO contributes to the development, implementation (construction and/or expansion) and exploitation of public infrastructure in developing countries.
Governments may submit a grant application to ORIO. This can be done on the initiative of a private party. Applications which meet the criteria are evaluated in competition. The winning applications will be eligible for a grant. The remaining part must be financed by the local government in some other way; for example, from its own resources, a commercial loan, or funds provided by development banks.

 

Project: a combination of inputs and activities with added value that yield a specific and marketable output in the area of Public Infrastructure. The Project is defined by the smallest, complete productive entity of Public Infrastructure, physically and technically integrated, that fully utilises the proposed investment and captures all financial benefits that can be attributed to the investment. A project must consist of new construction and/or renovation and/or expansion of public infrastructure and must comprise its development, implementation and operations.

The cost of the project's development and implementation phases and the first 10 years of the operations and maintenance phase that is eligible for a grant up to the amount of the grant percentage.

 

The ORIO subsidy consists of a contribution to those costs directly associated with implementation of the project. The contribution is 35% to 50% of project costs with a project minimum value of EUR 2,000,000.

 

Besides above mentioned programs RSS has gained extensive knowledge of other programs like AECF, EU call for proposals and various R&D programs.