NOK 2.8 billion for rural and regional policy

The Government proposes to allocate approximately NOK 2.8 billion to rural and regional policy in 2011. This is an increase of almost NOK 100 million from 2010.

“We propose to strengthen two important areas. Firstly we are increasing efforts to create attractive local communities throughout the country. Secondly, we shall make it even easier for people to be able to start up new companies or develop existing ones,” says Minister of Local Government and Regional Development Liv Signe Navarsete.

Through its rural and regional policy, the Government wishes to get resources throughout the country into use and to contribute towards added value, employment and welfare within local communities.

The county authorities manage around NOK 2.3 billion, or a good 80 per cent of the total funding for rural and regional policy. This will enable the county authorities to carry out regional development work, in partnership with Innovation Norway, the local authorities and others.

“The fiscal budget for 2011 supports the strong desire for initiative and the great commitment that exists all over the country. I am particularly glad to be able to provide more funding for measures aimed at young people and innovation, such as Innovation Norway’s work for young entrepreneurs and the organisation Ungt Entreprenørskap (Young Entrepreneurship),” says Liv Signe Navarsete.

Examples of measures that receive increases in the fiscal budget for 2011:

Attractive local communities

• Bulyst: the Ministry of Local Government and Regional Development proposes to allocate NOK 47 million to the Bulyst programme in 2011. This is an increase of NOK 15 million over 2010. The programme is intended to support local and regional projects throughout the country that promote the attractiveness of rural living and to acquire new information about what makes people want to live in rural communities.
• Municipal business development fund: the Ministry of Local Government and Regional Development has allocated NOK 225 million to local or regional business development funds in 2011. This is NOK 50 million more than in 2010. The business development funding is intended to enable local and regional authorities to be better prepared to facilitate added value and employment.

Entrepreneurship and company development

• Young entrepreneurs: the Ministry of Local Government and Regional Development has budgeted NOK 17 million for initiatives aimed at entrepreneurship and young people through Innovation Norway in 2011. This is an increase of NOK 5 million over 2010. Among other things, the funding will be used for a mentor scheme for young entrepreneurs.
• Ungt Entreprenørskap (Young Entrepreneurship): In 2011 the Ministry of Local Government and Regional Development is preparing to give NOK 11 million to the organisation Ungt Entreprenørskap (UE). This is an increase of NOK 2 million over 2010. UE works to offer pupils and students training in entrepreneurship.
• Company network: the Ministry of Local Government and Regional Development proposes to allocate NOK 10 million to Innovation Norway’s company network service in 2011. This is NOK 5 million more than in 2010. The service exists to help small and medium sized companies to establish commercial and binding partnerships with other companies.
• The Næringshage programme: the Ministry of Local Government and Regional Development intends to give NOK 25 million to the Næringshage (Business Garden) programme in 2011. This is an increase of NOK 5 million over 2010. The programme is intended to contribute to the development of new jobs in knowledge-based industries in rural areas. A new programme period will commence from the second half of 2011.

Links

• The Ministry of Local Government and Regional Development’s budget pages.

For more information, contact the press centre at the Ministry of Local Government and Regional Development on tel. +47 22 24 25 00.