Easing access to Innovation Norway's total framework of seven billion NOK
Innovation Norway is adjusting their offerings to meet changing needs as a result of the corona pandemic. This applies to grants, loans and guarantees.
“We do what we can to meet the challenges Norwegian companies face. This means that we can contribute with even more public funding in a demanding time,” says Håkon Haugli, CEO of Innovation Norway.
“We are also in continuous dialogue with the authorities to increase the possibility of new measures.”
The measures:
CEO of Innovation Norway, Håkon Haugli. PHOTO: ASTRID WALLER
Innovation Norway cuts interest rates by 1.0 percentage point on low-risk loans and 1.25 percentage points on risk loans. This applies to new loans from 23 March and to current loans from 15 April.
We have simplified the application process for postponing repayments. The scheme is for companies affected by the corona pandemic, and we mainly grant a one-year installment deferral.
We contribute with larger financial support than normal by utilising the openings within the state aid regulations.
We open up to innovation – and risk loans with lower collateral requirements than we normally have.
We open up to more and bigger feasibility studies within the Environmental Technology Scheme (Miljøteknologiordningen) and Innovation contracts (Innovasjonskontrakter).
Halving the requirements for contributions from pilot customers related to Innovation contracts.
We allow customers who experience delays more time to decide on financing commitments, and we can extend payment deadlines.
We increase our proportion of grants from 50 per cent to 75 cent of the total costs for commercialisation grants. We also allow for a higher proportion of internal costs, including salaries.
This applies to new projects, and means that the requirement for other capital is significantly reduced.
Start-up loans increases from maximum 1.5 million NOK to 2 million NOK, without increasing the requirements for bail or equity.
The interest-free period is increased by six months on existing and new start-up loans.
No installments on start-up loans for the first four years.
Start-ups that have received commercialisation grants are also given the opportunity to receive start-up loans. Previously, it was only possible to receive support from one of the schemes. The change applies to both existing and new customers.
We adjust our internal routines in order to process applications as quickly as possible.
A complete halt everywhere
Minister of Trade and industries, Iselin Nybø. Photo: Marte Garmann
“It’s a complete halt everywhere at the same time, and many are already struggling to pay their bills,” Minister of Trade and industries, Iselin Nybø, says. “It is particularly important to help viable businesses get through this tough time, to ensure that people still have jobs once the crisis comes to an end.”
“Our colleagues at 19 offices in Norway are in daily contact with businesses across the country. The pandemic brings about immediate consequences – about half of the businesses we’ve been in touch with have temporarily laid off employees. Companies struggling to pay their bills have multiplied. Many are deeply concerned for the long term consequences,” Håkon Haugli says.
“That’s why we’re now making changes to our offerings. We have also contributed with many suggestions to the upcoming crisis package for start-up and innovation companies, which the government will announce Friday.”