DEG offers various promotional programmes through which it advises and supports its customers in a targeted manner.
Through its Up-Scaling programme, it provides young German and local SMEs that have innovative business models and want to invest in developing countries with the specific resources they need for their development. Through its ImpactConnect programme (formerly AfricaConnect), DEG supports European businesses investing in developing and emerging market countries in Africa, and since 2024 also in Latin America and Asia, by providing them with long-term loans.
DEG Impulse is a subsidiary of DEG that actively promotes the social and environmental transformation of private-sector enterprises. It offers project and advisory solutions via the Business Support Services (BSS) and develoPPP promotional programmes, and oversees the Helpdesk on Business and Human Rights of the Agency for Business and Economic Development (AWE), which is financed by the BMZ, on behalf of DEG.
DEG Impulse’s Business Support Services (BSS) programme helps financing customers to meet their business challenges – particularly those associated with sustainability and climate transformation – with targeted advice and by co-funding the costs. Corporate governance, further training of employees and suppliers, risk management and environmental and social management are further focal points of BSS. DEG Impulse also supports humanitarian aid programmes of DEG customers in Ukraine via BSS.
With the develoPPP programme run by the German Federal Ministry for Economic Cooperation and Development (BMZ), DEG promotes private-sector projects in areas where entrepreneurial opportunities and development-policy potential coincide. During the past year, DEG Impulse made new commitments to 50 develoPPP projects amounting to a total project volume (including company contributions) of EUR 60 million. Of these, 39 projects are being implemented in the target region of Africa, and 11 projects in collaboration with German companies. Through this programme, DEG Impulse has provided co-financing of up to EUR 2 million for measures with development impact by companies. The company receives up to 50% of the project costs.
A total of 56 of the develoPPP projects carried out by DEG were concluded in 2023, with the following development impact:
Development impact of the develoPPP programme:
The Helpdesk on Business and Human Rights is a support service of the Federal Government through which DEG Impulse advises companies on human rights and environmental due diligence. This concerns the strategic orientation of business activities, identification of human rights risks and implementation of appropriate measures. The Helpdesk on Business and Human Rights is part of the Agency for Business and Economic Development (AWE) and is operated in cooperation with the Deutsche Gesellschaft für Internationale Zusammenarbeit GmbH (GIZ).
develoPPP – support for climate transformation in agriculture – increasing resilience
Small farmers in Africa play a key role in food security and supply for the growing global population. However, they face major challenges such as deteriorating soil quality and the wide-ranging effects of climate change.
A joint venture between long-standing DEG customer ETG Group and Parrogate Ginneries Limited aims to provide support with this in Zambia and Malawi. The aim of their initiative is to teach sustainable agricultural practices and promote the use of improved seeds, thereby making the supply chains for both companies more resilient. The small farmers also benefit from larger crop yields. DEG Impulse promotes this initiative via the develoPPP programme with BMZ funds, having previously supported a feasibility study by ETG via Business Support Services.
Model farms are being built in the two countries to function as training centres on climate-friendly farming methods for over 50,000 farmers. In Malawi, DEG Impulse is boosting cooperatives in the supply chain through develoPPP by improving access to information, equipment and services for the agricultural businesses involved. This serves, among other things, to reduce the risk of disruptions in the supply chain.
In Zambia, designated agroforestry areas are being established as carbon sinks. These enable significant carbon storage and provide an additional source of income for small farmers from the proceeds of selling the carbon credits generated.
BSS “Course to Independence” promotes women-led microenterprises
The “Course to Independence” project initiated by Ukrainian agricultural company and long-standing DEG customer Astarta and financed with BMZ funds through DEG Impulse's Business Support Services actively promotes training and financial support for operators of agricultural microenterprises. Many of these are women with children and internally displaced persons. A total of 60 businesses received financial support in 2022/23 alone. A further 100 business operators are currently participating in the programme.
The active promotion of microenterprises helps to create jobs and ensure job security, as well as food security in wartime conditions.
One of these businesswomen is Maryna Shlyakhta. She founded the “StrudelOk” bakery in the Ukrainian town of Myrhorod at the beginning of 2023. She and her employees now bake pastries and bread every day and deliver them to people who are unable to leave their homes very frequently or at all due to restricted mobility or traumatic experiences.