Investment & Fund Management

A guarantee from the European Investment Fund (EIF) has enabled the Export and Investment Fund of Denmark (EIFO) to provide significant support to Danish businesses in the creative and cultural sectors. This partnership aims to address the persistent issue of access to finance for these businesses, which often struggle to secure loans due to perceived higher risks associated with creative projects. The EIFO can now offer up to DKK 300 million in new lending, allowing businesses in design, game development, IT, music, filmmaking, and the arts to access capital under more favorable terms.

The collaboration is part of the European Union's InvestEU initiative, which seeks to mobilize over €372 billion in additional investments by 2027. The EIFO's new guarantee program is designed to alleviate financial bottlenecks within the creative and cultural sectors, which are crucial to Denmark's economy, accounting for over 7 million jobs and 4.2% of the EU's GDP. By providing loans rather than relying solely on support programs and subsidies, the EIFO aims to enhance flexibility in financing and potentially reduce interest rates by up to 4% compared to standard offerings.

This initiative not only facilitates easier access to finance but also recognizes the significant potential of the creative industries to drive growth and innovation in Denmark. The EIFO's willingness to take risks in financing is intended to empower businesses to pursue larger projects, thereby contributing to the overall development of the cultural and creative sectors in the region.