Investment finance with an impact on development
Through ImpactConnect, the German Federal Ministry for Economic Cooperation and Development (BMZ) supports German and European companies with their investment activities in developing countries and emerging economies. The programme is implemented by the Deutsche Investitions- und Entwicklungsgesellschaft (DEG) and issues loans to subsidiaries of established companies for economically viable projects with a developmental impact. This offering is supplemented by the TradeConnect programme, which facilitates access to trade financing in selected markets.
ImpactConnect arranges loans for investment projects in countries for which commercial banks are often unable to provide finance. In addition to this financing, companies benefit from DEG’s wide-ranging expertise and extensive network in developing countries and emerging economies and from support with implementing international environmental and social standards. Concessionary interest rates are also available for projects with a particular developmental impact. Companies can benefit from these rates if they operate in one or more of the following four areas:
- Better jobs: companies can receive more favourable interest rates or a grant if, for example, they pay living wages, implement a certified occupational health and safety management system, or can provide evidence of certified working conditions.
- Female empowerment: ImpactConnect supports companies that actively promote gender equality, empower women in business, and mainstream equal opportunities within the workforce, management, supply chains and corporate structures.
- Fair and sustainable supply chains: companies can also obtain interest rate reductions by using recognised quality labels and participating in supply chain initiatives.
- Reduction of the carbon footprint: companies benefit from climate action incentives, sustainable energy solutions and the verifiable reduction of their carbon footprint.
ImpactConnect: the programme at a glance
Target group
Eligibility criteria
Funding available
Application process
Interested companies can submit their investment proposal using the ImpactConnect form.
To contact form
Further information
TradeConnect: one-pager
TradeConnect promotes small-volume exports and imports. Guaranteeing up to EUR 5 million or 50% of the loan helps local banks to finance partners of German companies.
View PDFEDFI Exclusion List
The Harmonised EDFI Exclusion List specifies business activities excluded from financing. These include child and forced labour, illegal activities, environmental destruction and arms trading.
View PDFImpactConnect promotion at a glance (German)
Find out how funded projects are improving their environmental and social impacts and discover what living wage measures are planned.
DEG Invest WebsiteIndependent interim evaluation of ImpactConnect (formerly AfricaConnect)
The independent interim evaluation assesses AfricaConnect based on OECD criteria. It evaluates the financing arrangement’s relevance, implementation and impact in relation to investment and job creation in Africa.
View PDFManagement response to evaluation
The management response shows how DEG and CREDION are addressing the recommendations of the AfricaConnect evaluation and further developing ImpactConnect, with global reach, measurable objectives and stringent review.
View PDF
