Applications
for grants by the Facility Investing
for Employment
can be submitted from the end of January 2025.
The
Facility Investing
for Employment
will launch competition rounds in Ghana, Morocco, Rwanda, and
Senegal. Investment projects must create jobs in the private sector.
In addition to the grant, applicants can apply for a contribution to
employer-(co)financed social protection schemes.
Companies
as well as public and non-profit organisations can apply for
co-financing grants. To qualify for a grant, investment projects must
create jobs in the private sector. In addition to the grant,
applicants can apply for a contribution
to employer-(co)financed social protection schemes.
The Facility awards grants
ranging from EUR 650,000 to EUR 10 million
per
project for the job creation component. Preference will be given to
projects that combine job creation with social protection measures,
such as:
-
Projects
that give employees and their families access to social protection
benefits beyond mandatory minimum requirements (e.g., additional
health or accident insurance, pension schemes or other social
protection measures offered by the employer),
-
Projects
that formalise the employment status of workers who are in informal
employment,
-
Projects
that contribute to the promotion of women’s employment or to the
socially just transition to a climate-friendly economy.
In
addition to the application for a grant, investors will have the
option to apply for temporary
co-financing
by IFE
of additional social protection schemes
that are provided to employees and their families. Social
protection benefits provided to workers in informal jobs are also
eligible for co-financing.
These social protection schemes must go beyond the minimum standards
required by law. This could cover:
-
Enhanced
social security (e.g., additional health or unemployment insurance)
or
-
Investment
in social measures (e.g., kindergartens, healthcare centers,
conversion of workplaces with the aim of making them more accessible
for persons with disabilities);
-
Combinations
are possible.
The
Calls for Proposals in the countries mentioned above seek
applications for four types of investment projects:
-
Not-for-profit
projects with job creation impact (no revenues): IFE covers up to
90% of the investment costs.
-
Not-for-profit
projects with job creation impact (generating revenues): IFE covers
up to 75% of the investment costs.
-
For-profit
projects with broader job creation impact: IFE covers up to 35% of
the investment costs.
-
For-profit
projects with job creation impact: IFE covers up to 25% of the
investment costs.
This
is how the application process works
The
online application period will start in January 2025. In a first
step, the Facility will make a pre-selection from the submitted
concept notes. In a second phase, the selected applicants will be
invited to submit fully elaborated project proposals, which will then
be evaluated in detail. Successful applicants will be offered a grant
contract.
The
Facility only finances mature projects that have not yet started and
that offer reasonable chances for being operationally and financially
sustainable.
Applicants
are obliged to contribute own funds to complete the project finance.
They must also prove that they cannot cover their funding needs from
other sources.
IFE
will make the competition criteria available on its website:
invest-for-jobs.com/en/ife-download-center
IFE
will provide a Helpdesk for questions related to the application
process and to the financing of social protection schemes. General
information on the Facility Investing for Employment is available
here: invest-for-jobs.com/ife
If
you have questions about this Call for Proposals, please write to:
cfp-ife.2025@invest-for-jobs.com
The
Facility Investing
for Employment
is an investment mechanism created by KfW Development Bank on behalf
of the German Federal Ministry for Economic Cooperation and
Development (BMZ) as an integral part of the Special
Initiative "Decent Work for a Just Transition".
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