Development Partnerships

What are development partnerships with the private sector?

Whether the matter at hand is training local staff, using climate-friendly technology, or applying social standards in factories, the goals of private sector companies and development cooperation organisations in the public sector frequently overlap. Development partnerships with the private sector (DPP) involve both publicly and privately owned enterprises taking advantage of this common ground to cooperate in joint projects in developing and emerging countries. The partners each contribute their own particular expertise, while sharing responsibilities and costs.

How do people in partner countries benefit?

The benefits for local people are numerous. Partnerships can bring new skills and knowledge to a country, help improve social and environmental standards, create jobs and increase tax revenues. By working with the private sector, public enterprises can direct private investment into projects that meet development policy goals while mobilising additional funds in the process. In addition, those enterprises engaged in development cooperation activities benefit from the innovatory energy and know-how of the private sector.

How do companies benefit from

Developing and emerging countries are the markets of tomorrow. However, inadequate legal safeguards, under-developed training institutions and gaps in infrastructure, sometimes combined with cultural barriers, lead many companies to view

doing business there as high risk. Working with Germany’s development cooperation organisations can mitigate such risks. DEG, GIZ and sequa have been working for many years in partner countries around the globe. They have access to extensive networks made up of partners from government, the private sector, local authorities, chambers of commerce and non-governmental organisations. With their experience in managing complex processes on the ground and their wide-ranging expertise, they are highly qualified to work in partnership with the private sector.

What is

The German Federal Ministry for Economic Cooperation and Development (BMZ) supports companies wishing to engage in developing and emerging countries through its programme. They can obtain financial support of up to EUR

200,000. In all cases, at least 50 per cent of the costs must be borne by the company itself. The programme is executed on behalf of BMZ by the Deutsche Investitions- und EntwicklungsgesellschaftmbH (DEG), Deutsche Gesellschaft für Internationale Zusammenarbeit(GIZ) GmbH and sequa gGmbH. Since the programme started in 1999, these three organisations have implemented over 1,500 partnerships with small and medium-sized enterprises (SMEs), technology firms and international groups. Partnerships have a term of up to three years and range from energy projects, water and wastewater management and vocational training through to product certification and supply chain management.

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Contact Person

Chioma Nwagboso
BDSU Consultant/GIZ
DGIC International Services
+234 1 2700746 Ext: 104