>> Focus on international business and cooperation

PSI

Private Sector Investment programme

>> Focus on international business and cooperation

2

Private Sector Investment programmePSI

Arco van Wessel / Els HuntjensPSI Project Officers for Albania

October, 2011 The Hague

>> Focus on international business and cooperation

3

This presentation:

1. What is PSI?

2. What kind of projects?

• examples

3. Criteria

• partners, project and impact

4. How to start?

>> Focus on international business and cooperation

4

1. What is PSI?

PSI = Grant for companies investing in emerging markets

By whom? Dutch Ministry of Foreign Affairs, Development Cooperation Where? In 50 countries worldwideWhy? To create employment & generate income

• Formerly known as PSOM

>> Focus on international business and cooperation

5

PSI - schematic

NL AL

NL - AL

INVESTMENT

50% PSI grant

>> Focus on international business and cooperation

6

1. What is PSI?

• Investment budget up to EUR 1.5 million

• PSI finances 50% of the total project budget (grant)

• Remaining 50% is paid by the project partners

• Budget consists of Hardware and Technical Assistance

• Advance payments by PSI definite payments after completion of

the project

>> Focus on international business and cooperation

7

2. What kind of projects?

Investment projects

All sectors: Agriculture, Industry, Services

Innovative: new to the country / sector

Pilot scale but commercially viable & scaled-up after PSI phase

No commercial financing available

Maximum project duration 30 months (36 months for agricultural

projects)

Measurable positive effects on the local economy

>> Focus on international business and cooperation

8

2. What kind of projects?

Examples:

• Production of monorail conveyor systems in Moldova

• Meat processing in Albania

• Greenhouse plant growing in Georgia

• Private medical clinic in Armenia

>> Focus on international business and cooperation

9

3. Criteria - Partners

Applicant is a Dutch company

Recipient is a Albanian company

Companies are officially registered and have substantial economic

activities

Partners are financially sound and reputable

Project is in line with core business of the partners

Partners set up a long term cooperation (preferably a joint venture)

>> Focus on international business and cooperation

10

3. Criteria - Project

Market analysis

Clearly defined results

Realistic project budget

Sound financial plan

Clear operational plan

Positive impact on local economy

>> Focus on international business and cooperation

11

3. Criteria - Impact

Employment created

New technology or product

Transfer of knowledge

Income effects and sound working conditions

Chain effects

Impact on the environment

Corporate Social Responsibility (CSR) !

>> Focus on international business and cooperation

12

4. How to start?

• Find a Dutch partner• Two tenders each year. Per tender approx. EUR 40 million• The next tender deadlines, probably:

February 2012August 2012

• Start of project after evaluation and selection procedure

>> Focus on international business and cooperation

13

4. How to start?

• Visit the website www.agentschapnl.nl/psi

• Discuss your idea with a PSI project officer

• Read the instructions and format for project write-up

• Visit the workshop 'How to apply for PSI'

>> Focus on international business and cooperation

14

Thank you for your attention!

Contact your project officer for Albania:

arco.vanwessel@agentschapnl.nl Tel: +31 88 602 1079

els.huntjens@agentschapnl.nl