Partnership

Private sector

A catalyst for innovation, the private sector plays a pivotal role in driving positive change and accelerating the achievement of the Sustainable Development Goals (SDGs). Through strategic collaborations, LuxDev is committed to fostering impactful projects that directly benefit communities. Three dedicated funds provide significant co-financing opportunities for enterprises, spanning from experienced startups to more established entities poised for scalable growth.

• The Business Partnership Facility aims to initiate commercially viable projects between businesses based in Luxembourg or the European Union, and their partners established in developing countries. Through innovative co-financed projects, the BPF addresses significant societal challenges contributing to the development of the partner country. Enterprises established in Luxembourg or the European Union can apply to the open call for proposals year-round. Selection occurs twice a year, analysing applications received by the end of April and October, respectively. Selected projects receive up to EUR 200,000 in co-financing, covering a maximum of 50% of the total project cost. Innovations in all sectors are welcomed, as long as they contribute to the SDGs.

• The LuxAid Challenge Fund targets impactful young enterprises in countries where Luxembourg’s Development Cooperation is active.  It is designed to accelerate innovative solutions with high impact potential to enhance living conditions and safeguard the environment in these countries. The LuxAid Challenge Fund offers co-financing of up to EUR 140,000 representing a maximum of 70% of the total project costs. Calls for proposals are regularly opened in target countries, focusing on themes aligned to the strategic priorities of Luxembourg’s Development Cooperation in those countries.

• The LuxAid Demonstration Fund aims to give a boost to innovative entrepreneurial solutions that have already demonstrated their impact and proven their effectiveness. It focuses on initiatives implemented in three priority countries: Kosovo, Rwanda, and Senegal. It enables enterprises to scale, broaden their reach and amplify their impact. Active research for innovations is conducted through mapping entrepreneurial solutions already identified by partners in these countries. In some contexts, a call for proposals may be opened. Enterprises are also encouraged to submit their solutions directly via the website.

In general, LuxDev favors systemic approaches, including the 'market systems development' approach, to encourage change makers – including businesses, as well as other organisations – to better enable the most vulnerable populations to benefit from markets. These approaches place sustainability and replicability at the core of interventions.

Academics and research

Public research in the service of cooperation is a source of new knowledge that can support the implementation of bilateral cooperation activities.

In 2023, as part of the joint programme LuxAid BRIDGES, the National Research Fund, the Ministry of Foreign and European Affairs, and LuxDev initiated a first call for research projects to be funded in partnership with researchers in developing countries. It is organised in two stages: an optional "Seedlings" stage in the spring, followed by a research proposal call at the end of the year. This pilot call for projects will help better assess the contribution of research to the strategy of Luxembourg Cooperation.

Civil society / NGOs

Collaboration with NGOs takes many forms and is always based on the added value that an NGO can bring to a specific bilateral development cooperation action.

National NGOs in the countries where LuxDev operates are mobilised to help achieve specific results in the context of LuxDev projects, because of their local presence, their knowledge of the context and the issues to be addressed, as well as their concern for the sustainability of the project. These NGOs generally benefit from capacity-building support. They are both partners and beneficiaries.

On the other hand, international NGOs, or national NGOs that have reached a certain level of maturity, work exclusively as partners in bilateral cooperation projects and programmes. In order to achieve greater effectiveness, efficiency, and coherence, LuxDev generally reinforces the action of these NGOs on subjects and areas of intervention that converge with Luxembourg's bilateral intervention.

Other donors and cooperation agencies

LuxDev is an active member of the Practitioners' Network. This network aims to strengthen cooperation, links and complementarity between European development actors with a public service mission, by creating opportunities for cooperation and synergies in implementation. It enables the exchange of information and experience between practitioners and provides feedback on European development policies from the point of view of practitioners, while improving the visibility of its members.

In addition to its participation in this network, for which LuxDev has assumed the co-presidency from 2020 to 2021 with Enabel, the Belgian development cooperation agency, LuxDev is also present in specialised networks dealing with priority themes for Luxembourg Cooperation (gender, environment, inclusive finance, digital for development).

This presence enables LuxDev to exchange ideas with its peers, acquire new knowledge and skills and seize opportunities for collaboration with these players.

Being first and foremost the Luxembourg Development Cooperation Agency, LuxDev also develops partnerships with other donors and development cooperation agencies, provided that these partnerships are complementary or additional to the bilateral portfolio. Lastly, certain partnerships are defined on the basis of their strategic nature for LuxDev.