Creation of value and mobilisation of national resources

This paper aims to create a strategy for reducing dependence on development assistance for NORAD’s partner countries. Such a strategy would ensure that they would become increasingly able to finance their own enterprise.The paper considers socio-economic and commercial income, the direct and indirect effects of the project, and whether they are burdening the authorities with future expenditure that they cannot or will not undertake.The report makes a number of recommendations for the development of new practical approaches and instruments, including:guidelines will be drawn up for practical approaches to private sector development, given that the assistance in this field is to reach different poor target groupsfunds will be earmarked in a special sub-item in the budget in order to establish a special item for research, testing and methodical development of innovative measures in both the private and the public sectorNORAD will hold a seminar on the potential of research parks/incubators as private sector development instrumentsconsideration will be given to the question of whether Norwegian support to knowledge development can be further developed into an instrument for private sector developmentconsideration will be given to the question of whether grants for pilot studies etc. can be used by enterprises in partner countries, possibly giving responsibility for their implementation to the countries' trade associationsNORAD will follow up funding mechanisms at national level in partner countries for support for micro finance activitiesthe initiative will be taken to see that grant schemes can be used to mobilise private investments among students in educational institutions related to private sector development and value creationit is recommended that NORAD undertakes some thorough reviews in selected, relevant partner countries and, if necessary, finds other management tools for the recipient with a view to reducing the above-mentioned monetary and financial problemsan assessment will be made of what knowledge Norway possesses as regards international framework conditions and developing countries and of whether this knowledge should be built up in NORADa list will be drawn up of different bilateral and multilateral donors' special expertise as regards private sector development and mobilisation of resources and whether greater interaction including co-financing is of interestinformation will be gathered about the Norwegian Industrial and Regional Fund and other donors' approaches for good ideas which can be tried out at NORADconsideration will be given to how the embassies can be strengthened, for example by assigning regional advisors on private sector development and creation of valuean assessment will be carried out of future NORAD support to export marketing from the partner countriesRegular consultations will be established with NORFUND