DRIVE stands for Development Related Infrastructure Investment Vehicle, which is a subsidy programme established by the Ministry of Foreign Affairs of the Netherlands.
This programme supports public infrastructure projects in developing countries which contribute to the country’s advancement.
What is it and how does it work?
Role of the Netherlands Enterprise Agency (NEA), (Rijksdienst voor Ondernemend Nederland: RVO)
DRIVE is the successor to the ORIO infrastructure development facility. Its purpose is to provide financial support for the construction of accessible and functional infrastructure in developing countries. Exporters involved in public infrastructure projects in designated countries may be eligible for a subsidy from this programme. They must submit their application to the Netherlands Enterprise Agency (NEA), which is responsible for running the programme on behalf of the Ministry of Foreign Affairs.
Role of Atradius Dutch State Business
A subsidy from the DRIVE programme will generally not be large enough to finance an entire transaction. Often additional commercial financing must be obtained from banks. Atradius Dutch State Business may insure the portion of the transaction which is to be financed commercially, but only if Dutch exporters are involved .
What can the subsidy be used for?
The subsidy can be applied to the contract sum, the interest due on the commercial financing, the export credit insurance premium, the first instalments owed by the buyer or any combination thereof.
In order to qualify for a DRIVE subsidy, a project must clearly contribute to the sustainable development of the private sector in the country concerned. It must help improve the local business climate, support local entrepreneurship and create local jobs. DRIVE gives priority to projects related to food security, water supply and sexual and reproductive health and human rights (SRHR).
The usual criteria for export credit insurance - including those pertaining to agreements made in the OECD and the requirements of the IMF and World Bank - also apply to a project benefiting from a DRIVE subsidy. Atradius Dutch State Business offers cover for DRIVE transactions for all the countries on the DRIVE-country list. This includes countries for which we cannot offer cover under our regular export credit insurance programme.
How can I apply?
For a DRIVE subsidy, exporters must apply to the Netherlands Enterprise Agency. For export credit insurance for DRIVE transactions, exporters - together with their financing bank - may consult Atradius at any stage in the transaction planning process. The application procedure for export credit insurance is the same as for applications under our regular programme: exporters must complete the application form for insurance for capital goods and services and financing banks the application form for insurance for loans.
Do you have any questions or need advice?
Please call 020 553 26 93 to get in touch with an Atradius Dutch State Business advisor or send an e-mail to firstname.lastname@example.org.
Please refer to the website of the Netherlands Enterprise Agency for further information about the DRIVE programme.