WORLD TRADE
ORGANIZATIONIP/C/W/412/Add.4
14 November 2003
(03-6120)
Council for Trade-Related Aspects
of Intellectual Property RightsOriginal:  English
REPORT ON THE IMPLEMENTATION OF ARTICLE 66.2
OF THE TRIPS AGREEMENT
NORWAY
Addendum
The following communication, dated 10 November 2003, 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 requires "developed country Members to provide
incentives to enterprises and institutions in th eir territories for the purpose of promoting and
encouraging technology transfer to least-developed country Members in order to enable them to createa sound and viable technological base".  The present note provides an update of the relevant facilities
provided by the Norwegian Agency for Development 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 World Bank loan eligibility.
II. THE NORWEGIAN AGENCY FOR DEVELOPMENT COOPERATION (NORAD)
3. NORAD provides incentives for technology transfer to developing countries, including least-
developed countries, through (1) its facilities for investment support, (2) its financing mechanisms for
export from Norway, and (3) support to export related projects in Norway's partner countries.
4. The purpose of the NORAD facilities for investment support is to encourage firms to invest in
developing countries, including least-developed countries.  The facilities promote cooperation,
including cooperation relating to transfer of technology, through the support of feasibility studies forestablishing joint ventures or foreign subsidiaries , investments in basic environmental infrastructure
and training in order to strengthen the local management of joint ventures or companies that are
owned wholly or partially by one or more foreign companies.IP/C/W/412/Add.4
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5. The purpose of the financing arrangements for export of capital goods, technology and
services is to promote transfer of technology more directly.  They include support for training in
connection with export, untied mixed credits, export credit guarantees (through the Norwegian
Institute for Export Guarantees) and untied co-financing.  Special training arrangements in connection
with such export to developing countries are often necessary to ensure an effective transfer oftechnology and the proper operation and maintenance of machines and equipment.
6. The purpose of supporting export related projects is to strengthen the countries' export
potential by assisting in building institutional and national capacities relating to standards, metrology,
testing and quality.  NORAD has, for example, supported the construction of laboratories and food
testing facilities in developing countries to help  food products comply with European standards.
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.  NORF UND supports the realization of viable commercial
projects, which balance economic, social and environmental considerations by investing in private
enterprises and promoting business development in thes e countries.  The objective is that one-third of
NORFUND's total investments shall be made in the least developed countries.
8. NORFUND's two main strategies are direct investments and investments in local funds.  Both
forms of investments provide incentives for the transfer of technology.  NORFUND is also engaged in
management of local investment funds in many developing countries,  and has i.a. established a joint
venture with Statkraft, Norway's largest producer of electric power, investing in the energy sector indeveloping countries.  This joint venture, called Statkraft NORFUND Power Invest, contributes to the
transfer of technology and management capabilities to least-developed countries through a number of
projects, such as the Khimti Hydroelectric Project in Nepal and the Theun Hinboun Hydroelectric
Project in Laos People's Democratic Republic.
9. NORFUND's direct investments are made jointly with private companies, often in
cooperation with local partners in developing countries.  Investments in local investment funds
provide a capital base to a local fund, which in turn invests in several local companies.  NORFUND is
actively contributing to the success of investment projects initiated by private companies by providing
risk capital, contacts and expertise on business and markets in developing countries.  NORFUND
requires the investment to be sponsored by a reputable business partner and a business plan must
demonstrate the presence of a profitable investment opportunity, a market, expertise and theawareness of environmental and social considerations.  NORFUND injects equity or quasi-equity
capital, less than or equal to the amount invested by the private company, and its commitments are
based on shared risk, not subsidies.
For further details concerning the above-mentioned incentive schemes, please contact:Norwegian Agency for Development Co-operation (NORAD)
Department for Civil Society and Private Sector Development
P.O. Box 8034 Dep., N-0030 Oslo, Norway
Tel:  +47 22 24 20 30Fax:  +47 22 24 20 31
Email:  postmottak@norad.no
Website:  www.norad.noIP/C/W/412/Add.4
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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 94Email:  post@norfund.no
Website:  www.norfund.no
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