Mission and strategy

Competitiveness

One of the two pillars of NIB's mandate is to strengthen the competitiveness of its member countries. Competitiveness is seen as a country's ability to achieve a sustainably higher level of wealth and prosperity, normally defined as a higher level of gross domestic product per capita.

By this definition, competitiveness can be improved either by raising the total value of products and services produced or by producing more per given input of labour or capital. In the short run, a multitude of factors affect a country's competitiveness. In the long run, it is mainly determined by the added value a country can provide with its human and physical capital in producing goods and services.

Competitiveness on a national level is a dynamic process. It is not a zero-sum game. Hence, in the long run, if one economy improves its competitiveness it is normally to the benefit of other countries too. An economy is an aggregation of many producing units. It is, therefore, unlikely to become more competitive unless its companies strengthen their competitiveness.

To strengthen the competitiveness of its member countries, NIB provides loans for:

• large energy projects
• investments in infrastructure such as transport 
• large investments by the corporate sector such as in the improvement of manufacturing processes and in research and development
• financing through intermediaries for the operations of small and medium-sized enterprises.

Environment

Enhancing the environment is the other of the two pillars. All of the following contribute to sustainable development: preserving, protecting and improving the quality of the environment, protecting human health, the prudent and rational use of natural resources and promoting measures at the international level to deal with regional and worldwide environmental problems. NIB recognises that taking environmental and social aspects into account is part of good business.

NIB's environmental focus areas are: cleaner production and resource management; environmental technology; emission reductions; and renewable energy. In its evaluation of environmental impacts, NIB takes into account these focus areas and quantitative assessments of environmental benefits. An economic and environmental review performed on all projects considered for financing are important factors when the Bank decides whether or not to finance a project.

NIB commits itself to act as a good corporate citizen and will pursue improvements on a permanent basis in its operations and in applying best practices in environmental management in its internal operations. The Bank furthermore works together with other international financial institutions (IFIs) and organisations in order to promote sound, coordinated and effective approaches to environmental issues.
 

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Eligibility criteria