New DKK 150 million initiative to open growth markets for Danish companies

The world’s fastest-growing economies are found in emerging and developing markets. Danish companies now have a new opportunity to benefit from this growth. The Ministry of Foreign Affairs has allocated DKK 150 million to the new Impact Accelerator business instrument, which offers financing and advisory support to Danish companies seeking to enter growth markets, as well as to companies in developing economies looking to trade with Denmark.

While the IMF expects the eurozone to grow by less than one per cent in 2026, Sub-Saharan Africa is expected to grow by 4.3 per cent, emerging economies in Asia by 5.0 per cent, and India alone by 6.4 per cent. This new business instrument enables Impact Fund Denmark, Denmark’s state-owned investment fund for emerging and developing countries, to support Danish companies in establishing and expanding their business activities across developing markets, enabling them to benefit from this growth.

With Impact Accelerator, Impact Fund Denmark can meet demand for smaller loans and equity investments, which is important for many businesses. Previously, the fund’s minimum investment size was DKK 15 million. Under Impact Accelerator, it is lowered to DKK 750,000.

Impact Accelerator is relevant, for example, for a Danish company looking to enter a growth market, or for a company in a growth market that supplies goods or services to a Danish business. This could involve collaboration with a Kenyan company seeking to expand its operations using Danish refrigeration technology, or an investment in a Ugandan coffee roastery aiming to increase production and export coffee to Denmark. In addition to financing, companies will receive start-up and business development support from a dedicated team with in-depth knowledge of local markets.

The markets of the future are in the Global South, and Danish companies have exactly the solutions these markets demand. What is often missing is the initial capital. With Impact Accelerator, we can engage earlier, take on greater risk, and provide Danish companies with guidance and advice. This creates growth and opens new markets for Danish businesses.

Lars Bo Bertram, CEO of Impact Fund Denmark

Lars Løkke Rasmussen, Minister for Foreign Affairs said:

Countries once regarded as poor and underdeveloped are now experiencing significant economic and demographic progress, creating new opportunities for Danish businesses. However, these are also markets where risks are greater, which is why we are launching four new business instruments designed to make it easier to turn a good idea into a concrete investment. Increased engagement by Danish companies in Latin America, Africa, Asia and Ukraine will benefit both the bottom lines of Danish businesses and the countries receiving the investments. This is development cooperation that makes sense.

Lars Sandahl Sørensen, CEO of the Confederation of Danish Industry said:

Danish businesses have long wanted Impact Fund Denmark to be able to provide financing across a broader range of investment sizes. The new instrument makes this possible. As a result, the Government is enabling more Danish companies to obtain the risk mitigation necessary to encourage them to explore opportunities in growth economies. I believe this will pave the way for more large and small businesses alike to pursue commercial opportunities in Asia, Africa, Latin America and Ukraine, benefiting local development and economic growth. We welcome this initiative.

With the new Impact Accelerator instrument, Impact Fund Denmark can now invest in a much broader range of companies, from investments of a few hundred thousand kroner to investments of several hundred million kroner through the fund’s existing loan and investment programmes. This provides Impact Fund Denmark with new and expanded opportunities to create impact.

The first investments are expected to be signed in early 2027.