WORLD TRADE  
ORGANIZATION  IP/C/W/519/Add.2 
13 October 2008 
 
 (08-4857) 
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 8 Oct ober 2008, from the Delegation of Norway is 
being circulated pursuant to paragraph 1 of the Decision on Implementation of Article 66.2 of the 
TRIPS Agreement.  
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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 c ountry 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 Devel opment Cooperation (Norad) and the Norwegian 
Investment Fund for Developing Countries (Norfund). 
2. Least developed countries are eligible for Norad and Norfund incentive schemes along with 
other developing countries with a GDP per capita  of less than US$5,295 in accordance with the 
threshold for the World Bank's concessional financ ing.  In 2007, Norad provided approximately 
US$ 36.5 million to the said group of developing countries through these programmes. 
II. THE NORWEGIAN AGENCY FOR DEVELOPMENT COOPERATION (NORAD) 
3. Norad provides incentives for technology transf er to developing countries, including least 
developed countries, through:  (1) its facilities for investment support;  (2) its financing mechanisms 
for import to developing countries;  (3) support to export related activities in developing countries;  
and (4) its institutional support.  Priority is given to least developed countries and Norway's partner 
countries.  
4. The purpose of the Norad facilities for investment support is to encourage firms to invest in 
and import from developing countries, including l east developed countries.  The facilities promote 
cooperation, including cooperation relating to transfer of technology, through the support of 
feasibility studies for establishing joint ventures or fo reign subsidiaries, traini ng in order to strengthen 
the local staff and management of joint ventures or companies that are owned wholly or partially by 
one or more foreign companies and investments in ba sic environmental infrastructure.  Support is also 
given to public-private partnership arrangements. IP/C/W/519/Add.2 
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  5. The purpose of the financing arrangements for e xport (i.e. import to developing countries) of 
capital goods, technology and services is to promote tr ansfer of technology more directly.  They 
include support for training in connection with export, untied mi xed credits (concessional credits), 
export credit guarantees (through the Norwegian Institu te for Export Guarantees).  Special training 
arrangements in connection with such export to deve loping countries are often necessary to ensure an 
effective transfer of technology and the pr oper operation and maintenance of machines and 
equipment. 
6. The purpose of supporting export related project s is to strengthen the countries' export 
potential and to facilitate trade by assisting in build ing institutional and nationa l capacities i.e. relating 
to standards, metrology, testing and quality and trade facilitation.  Norad has, and is supporting 
several regional and national programmes leadin g to international recognition and acceptance of 
certification systems, both on multi-bi basis as well as bilaterally.  Some of these programmes also 
include financing of testing laboratories both for food export and particular industrial goods. 
Assistance is also given to exporters in developi ng countries and to the development of quality and 
design of products (product development) in order to meet international market requirements.  The 
area of trade facilitation is important for the devel opment of trade, not least regional trade and support 
is given mainly through multilateral and international organizations. 
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 support s the realization of viable commercial projects, 
which balance economic, social and environmental cons iderations, by investing in private enterprises.  
Norfund's strategy is to invest primarily in four geographical areas, namely Southern Africa, Eastern 
Africa, Central America and the Mekong area in which there is a high concentration of least developed countries and Norfund has a local presence with offices and staff (except Mekong which is 
the only region in which Norfund does not have an office for the time being). 
8. Norfund is both providing loans and taking equity and invests both directly in companies and 
through local funds.  Investments in investment funds provide a capital base to a local fund manager 
which in turn invests in several local SME companies.  Energy provision and the financial sector are 
two sectors in which Norfund is heavily invested.  En ergy is a perquisite for development and growth 
and investments in and loans to banks and financia l institutions help create more sustainable local 
capital markets that give small and medium-sized en terprises better access to financing.  Norfund is 
also a financing partner for business in a range of other sectors both through direct investments and 
local investment funds.  In addition to investin g capital in various investment funds, Norfund has 
worked extensively with developing Aureos, a fund management company serving the SME-segment 
in developing countries.  Norfund has also established a joint venture with Statkraft, Norway's largest 
producer of electric power, investing in the energy sect or in developing countries.  This joint venture, 
called Statkraft Norfund Power Invest (SN Power),  contributes to the transfer of hydropower 
technology and management capabilities to emerging markets through several hydropower 
investments, such as for instance the Kh imti Hydroelectric Project in Nepal.  
9. Norfund's direct investments are made jointly w ith private companies, mostly in cooperation 
with local partners in developing countries.  In addition to providing risk capital, Norfund is actively 
contributing to the success of investee companie s, by exercising long-term ownership and providing 
access to regional and industrial expertise.  To invest, Norfund requires projects to be promoted by 
reputable business partners, that a credible and profitable business case for the investment can be 
presented, that no irreversible environmental or social consequences will follow from the project and 
that a willingness to work with Norfund to achieve continous improvement of operations is in place.  IP/C/W/519/Add.2 
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  Norfund normally injects less capital than the am ount invested by the promoter, and Norfund's 
involvement is always through investments, not subsidies. 
10. For further details concerning the above- mentioned incentive schemes, please contact: 
 Norwegian Agency for Development Co-operation (Norad) 
 Department for 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 
 
 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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