March 19 Sheraton Hotel, Dhaka
Jointly organised by the Embassy of the Kingdom of The Netherlands and FBCCI
 

The Embassy of the Kingdom of The Netherlands and FBCCI jointly organised a seminar to inform representatives of the Bangladeshi private sector on the opportunities of the Netherlands Private Sector Support Programmes: Private Sector Investment programme (PSI), the Match Making Facility (MMF) and ORIO. The seminar took place on March 19 at the Sheraton hotel

The seminar was opened by FBCCI president Mr. Annisul Huq. The Ambassador of the Kingdom of The Netherlands, Mrs. Bea ten Tusscher explained the policy objectives of the Private Sector Support programmes. Paul Schoenmakers, officer of the Netherlands Foreign Trade Agency (EVD), in The Hague provided the participants with a more detailed presentation of the different programmes.

The Private Sector Investment programme provides a maximum grant of 750.000 Euro for the setup of an innovative Joint Venture with an international business partner. The second programme is the Match Making Facility which helps Bangladeshi companies find a suitable business partner in The Netherlands. Lastly, an outline was given of the new infrastructure development programme ORIO, which provides a 50% grant for infrastructure projects from 2 up to 60 million Euro.

The 3 different programmes in more detail:

PSI Programme
In December 2008, the Netherlands Foreign Trade Agency, EVD, launched a new fund under the Private Sector Investment programme (PSI). Subsidies are available for Dutch and foreign companies entering into long-term cooperation with local partners in developing countries. This means that if a company from Bangladesh wants to apply for a PSI project it needs to have an international project partner. The preferred sectors for Bangladesh are Agriculture and Agro Business, and Information Technology. However, this does not mean that projects in other sectors are not eligible under the PSI program in Bangladesh.
The objectives of PSI are to stimulate financial growth, create employment opportunities and generate income in developing countries. This is achieved by providing companies with an opportunity to make an innovative investment together with a local partner.

The Match Making Facility
To help companies in a Developing Country find a suitable Dutch business partner, the Netherlands Foreign Trade Agency, EVD, has developed the Match Making Facility (MMF). This means that Bangladeshi companies, looking for a Dutch counterpart for either expertise, joint investments, opening of export markets or trading, can apply for this facility. Companies should contact the Netherlands Embassy in Dhaka. The Embassy will screen the intake form (available on the website) and send it to the EVD team that will actively seek out for a Dutch company that suits the needs. If such a company has been found, a Dutch consultant in the applicable field (paid by the EVD) will assist in further shaping the co-operation. The co-operation can lead to a PSI application but not necessarily.

The ORIO programme
The ORIO facility for infrastructure aims to contribute to the achievement of the Millennium Development Goals by investing in public infrastructure in developing countries. For Bangladesh the applicable sectors are: water management, energy, environment, and agriculture. The Bangladeshi Government is the applicant for ORIO funding, but private sector companies are invited to initiate project proposals. The total annual funds available for ORIO worldwide are Euro 180 million Euro. The budget for each project must be between Euro 2 million Euro and 60 million Euro. After approval of the project proposal, funding is available for the further development of the project plan(100% funding) and the implementation of the project, procurement and installation (50% funding). After completion of the implementation phase, also the operations and maintenance (O&M) of the infrastructural works will be supported by 50% funding of the O&M costs up to 10 years. The first call for proposals will close 15 May 2009.

More information on these financial support programmes is available on the following websites:
PSI:    www.evd.nl/psi (click eligible countries and choose Bangladesh)
MMF:  www.netherlandsembassydhaka.org (economic affairs section)
ORIO: www.orio.nl