The Danish government has announced that it will strengthen agriculture’s ability to access capital by creating a new private equity fund, according to a Monday press release from Denmark’s Business and Growth Ministry. The Kr200 billion (US$30.4 billion) Danish Agricultural Capital fund will get Kr0.5 billion (US$80 million) from the government and the remainder will be raised from private investors, such as pension funds, and will invest in companies pursuing agricultural activities.
The fund is motivated, in part, by the lack of investment in the nation’s agricultural sector, brought about by farmers’ high debt and weak capitalization.
“I am happy and proud that the government now provides Danish agriculture a new-needed helping hand,” Minister for Food, Agriculture and Fisheries Dan Jorgensen.
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