Impact Finance.
Entrepreneurial Opportunities.
Entrepreneurs can play a key role in innovating solutions to improve lives. Recognising this potential, the Luxembourg government has launched three private sector engagement funds: the Business Partnership Facility, the LuxAid Challenge Fund and the LuxAid Demonstration Fund.
These funds are an integral part of our development cooperation efforts, and their mission consists in fast-tracking solutions that have social and environmental impact and accelerate the Sustainable Development Goals.
Supporting innovation.
Fostering collaboration.
Accelerating positive impact.
Entrepreneurs are pioneering innovative solutions, products, services, or approaches to address key challenges in countries where Luxembourg’s Development Cooperation is active.
Innovations involve discovering, adapting, implementing, and scaling new solutions to address existing challenges or fulfill unmet needs.
We strive to support these solutions and propel them towards success. By leveraging the private sector’s innovation potential, we work to alleviate poverty and enhance access to education, water, healthcare, nutrition, jobs, or other basic rights.
We stand as partners to an impactful private sector, united to nurture sustainable, inclusive growth in developing countries. We are committed to foster the establishment and growth of fruitful partnerships and collaborations between Luxembourg, European private sector innovators, and entities in developing countries.
Empowering private sector innovations at every stage of growth
Our three funds cater to diverse co-financing needs, adapting to their varying stages of maturity.

Business Partnership Facility
Are you an enterprise based in Luxembourg or the European Union eager to develop innovative solutions for developing countries?
The Business Partnership Facility supports partnerships around pioneering projects spearheaded by enterprises based in the European Union, regardless of their stage of development. The innovation should actively enhance living conditions for local communities.
LuxAid Challenge Fund
Are you a young enterprise based in one of Luxembourg Cooperation’s priority countries? Have you developed and tested an innovative approach, product, or service addressing a significant social challenge in your country?
Explore the LuxAid Challenge Fund’s calls for proposals to secure co-financing and amplify the impact of your innovation!
LuxAid Demonstration Fund
Are you a growing, more mature business with an innovative solution, as well as a proven impact and business model? Are you located in Kosovo, Rwanda, or Senegal?
The LuxAid Demonstration Fund supports the take-off of your initiative, empowering you to scale up and amplify the positive impact of your endeavors.
Our vision

Private sector as
change maker
We support enterprises committed to a Responsible Business Conduct (RBC) and pioneering innovations that advance the Sustainable Development Goals.

Collaborative
partnerships
We support equitable partnerships based on risk- and cost-sharing. We walk hand in hand with change makers.

Strong,
lasting impact
We target commercial innovations that deliver positive impact and demonstrate long-term benefits for people in target countries.

Additionality –
Maximise the impact
Our intervention enables the achievement of greater results, that would not have been achieved otherwise, or not as quickly, or not on this scale.
Examples of supported projects
No matching results
News
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Business Partnership Facility
Sep. 2025Launch of the 14th edition of the BPF: Boost your impactful projects in developing countries
Business growth and positive impact? Yes, it’s possible! Whatever your sector, the Business Partnership Facility (BPF) can help your enterprise expand internationally while contributing to a fairer, more inclusive and sustainable future. -
LuxAid Demonstration Fund
Oct. 2025Boosting impact, building futures: Rwanda’s innovators backed by Luxembourg
On Thursday, 16 October 2025, Kigali came alive with the spirit of innovation for impact. The Embassy of Luxembourg hosted a high-level ceremony dedicated to the LuxAid Demonstration Fund (LDF), a flagship initiative of Luxembourg’s Development Cooperation, implemented by LuxDev, the Luxembourg Development Cooperation Agency. -
Business Partnership Facility
Sep. 2025The BPF, a driver of sustainable business
The Luxembourg State supports the creation of innovative partnerships, inviting the private sector to invest in developing countries. Through the Business Partnership Facility (BPF), Luxembourgish or European companies join forces with foreign partners to generate positive societal impact. Discover in Paperjam the story of e-LMA and Swiss Premium, a win-win… -
Business Partnership Facility
Sep. 2025From Luxembourg to Kosovo: Building the finance of tomorrow
Read the interview of Jabir Chakib (CEO of e-LMA) and Ilir Ibrahimi (CEO of Swiss Premium) to have their insight on this BPF-backed project in Kosovo. -
LuxAid Challenge Fund
Apr. 2025LuxAid Challenge Fund: 15 innovative entrepreneurs pitched their projects in Benin
The LuxAid Challenge Fund in Benin has reached a major milestone with the recent Pitch Days held in Cotonou… -
LuxAid Challenge Fund LuxAid Demonstration Fund
Apr. 2025Inspiring Pitch Days for LuxAid Demonstration Fund and LuxAid Challenge Fund in Kosovo
The call for proposals under the LCF and the LDF in Kosovo has reached an exciting milestone with the recent Pitch Days held in Pristina… -
LuxAid Challenge Fund LuxAid Demonstration Fund
Nov. 20242 M EUR boost for Kosovar business innovators tackling key challenges in manufacturing, education, healthcare and mobility
The Luxembourg Development Cooperation has just opened a call for proposals targeting enterprises with bold, innovative solutions to tackle societal challenges. Through the LuxAid Challenge Fund (LCF) and the LuxAid Demonstration Fund (LDF), businesses can secure up to EUR 350,000 in co-financing to scale transformative ideas in manufacturing, education, healthcare,… -
LuxAid Demonstration Fund
Sep. 2025Pitch Days spotlight: Rwandan innovation through the LuxAid Demonstration Fund
The LuxAid Demonstration Fund (LDF) in Rwanda has reached an exciting stage with the successful completion of its Pitch Days in Kigali…