WORLD TRADE  
ORGANIZATION  IP/C/W/431/Add.6 
23 March 2005  
 (05-1247) 
Council for Trade-Related Aspects 
of Intellectual Property Rights Original:   English 
 
 
 
REPORT ON THE IMPLEMENTATION OF ARTICLE 66.2 
OF THE TRIPS AGREEMENT 
 
NORWAY 
 
Addendum  
  
 The following communication, dated 7 March 2005, from the Delegation of Norway is being 
circulated pursuant to paragraph 1 of the Decisi on on Implementation of Article 66.2 of the TRIPS 
Agreement.  It was circulated as an adva nce copy for the Council's March 2005 meeting. 
 
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I. INTRODUCTION 
1. Article 66.2 of the TRIPS Agreement requir es "developed country Members to provide 
incentives to enterprises and ins titutions in their territories for the purpose of promoting and 
encouraging technology transfer to least-developed co untry Members in order to enable them to create 
a sound and viable technological base".  The present note provides an update of the relevant facilities 
provided by the Norwegian Agency for Develo pment Cooperation (NORAD) and the Norwegian 
Investment Fund for Developing Countries (NORFUND). 
2. Least-developed countries are eligible fo r NORAD and NORFUND incentive schemes along 
with other developing countries with a GDP per ca pita of less than US$5,295 in accordance with the 
threshold for World Bank loan eligibility. 
II. THE NORWEGIAN AGENCY FOR DEVELOPMENT COOPERATION (NORAD) 
3. NORAD provides incentives for technology transf er to developing countries, including least-
developed countries, through (i) its facilities for inve stment support;  (ii) its financing mechanisms for 
export from Norway;  and (iii) support to export-re lated projects in Norway's partner countries. 
4. The purpose of the NORAD facilities for investment support is to encourage firms to invest in 
developing countries, including least-developed c ountries.  The facilities promote cooperation, 
including cooperation relating to transfer of tech nology, through the support of feasibility studies for 
establishing joint ventures or foreign subsidiaries, investments in basic environmental infrastructure 
and training in order to strengthen the local mana gement of joint ventures or companies that are 
owned wholly or partially by one or more foreign companies. 
5. The purpose of the financing arrangements  for export of capital goods, technology and 
services is to promote transfer of technology more directly.  They include support for training in 
connection with export, untied mixed credits, export credit guarantees (through the Norwegian 
Institute for Export Guarantees) and untied co-financi ng.  Special training arrangements in connection IP/C/W/431/Add.6 
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with such export to developing countries are often necessary to ensure an effective transfer of 
technology and the proper operation and ma intenance of machines and equipment. 
6. The purpose of supporting export-related projects is  to strengthen the countries' exports and to 
facilitate trade by assisting in building instituti onal and national capacities relating to standards, 
metrology, testing and quality.  NORAD has, a nd is supporting several regional and national 
programs leading to international recognition a nd acceptance of certification systems, both on a 
multilateral as well as a bilateral basis.  Some of  these programs also includes financing of testing 
laboratories both for food export and particular industrial goods. 
III. NORWEGIAN INVESTMENT FUND FOR DEVELOPING COUNTRIES 
(NORFUND) 
7. The purpose of NORFUND is to promote private- sector development in developing countries 
by providing risk capital and expertise.  NORFUND  supports the realization of viable commercial 
projects, which balance economic, social and envir onmental considerations by investing in private 
enterprises and promoting business development in these countries.  The objective is that one-third of 
NORFUND's total investments shall be made in the least-developed countries. 
8. NORFUND's two main strategies are direct invest ments and investments in local funds.  Both 
forms of investments provide incen tives for the transfer of technolog y.  NORFUND is also engaged in 
management of local invest ment funds in many devel oping countries, and has, inter alia,  established a 
joint venture with Statkraft, Norway's largest pr oducer of electric power, investing in the energy 
sector in developing countries.  This joint venture, called Statkraft NORFUND Power Invest, 
contributes to the transfer of technology and management capabilities to least-developed countries 
through a number of projects, such as the Khimti Hydroelectric Project in Nepal and the Theun 
Hinboun Hydroelectric Project in Lao People's Democratic Republic. 
9. NORFUND's direct investments are made jointly with private companies, often in 
cooperation with local partners in developing coun tries.  Investments in local investment funds 
provide a capital base to a local fund, which in turn  invests in several local companies.  NORFUND is 
actively contributing to the success of investment pr ojects initiated by private companies by providing 
risk capital, contacts and expertise on business and markets in developing countries.  NORFUND 
requires the investment to be sponsored by a re putable business partner and a business plan must 
demonstrate the presence of a profitable invest ment opportunity, a market, expertise and the 
awareness of environmental and social considera tions.  NORFUND injects equity or quasi-equity 
capital, less than or equal to the amount invested  by the private company, and its commitments are 
based on shared risk, not subsidies. 
 For further details concerning the above- mentioned incentive schemes, please contact: 
  Norwegian Agency for Development Cooperation (NORAD)  Department for Civil Society and Private Sector Development 
 P.O. Box 8034 Dep., N-0030 Oslo, Norway 
 Tel:  +47 22 24 20 30  Fax:  +47 22 24 20 31  Email:  postmottak@norad.no  Website:  www.norad.no  
   IP/C/W/431/Add.6 
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Norwegian Investment Fund for Developing Countries (NORFUND) 
 P.O. Box 1280 Vika,  N-0111 Oslo, Norway  Tel:  +47 22 01 93 93   Fax:  +47 22 01 93 94 
 Email:  post@norfund.no 
 Website:  www.norfund.no  
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