Dutch investment fund cites "difficult" business climate as reason for drop in spend

Fewer companies received money from Invest-NL last year, the business stated in its annual report. The fund invested 236 million euros in 2024, which is less than the previous year when 288 million euros were invested. The fund has said that the drop is due to the “difficult” investment climate, which made it difficult for many companies to raise large funds.

The geopolitical tensions between the United States of America and China led to even more insecurity in the investment market. The gap in innovation between Europe and these two countries is widening, which is leading to more pressure on the competitiveness in Europe and can worsen the investment climate, the fund fears.

"‘Sectors such as plastic recycling face fierce competition from the dominant linear and fossil industries. Invest-NL is committed to resolving financial bottlenecks and supporting companies, but remains dependent on external factors such as regulation and geopolitical stability," the fund said to the Volkskrant.

Invest-NL spends money on sustainable or innovative projects with an element of risk to them. This investment makes it more likely for other parties to invest money in the projects.

Rinke Zonneveld, the chairman of the board at Invest-NL said that 2025 has been a restless year. "A lot is coming our way. Then the question you have to ask yourself in my role is: does it all have to happen now? And does it all have to happen at the same time? My answer is: yes. Change is the only constant."

The fund was founded in 2019. By the end of 2024, it had invested over 1.1 billion euros with a budget of around 3 billion euros. The fund suffered a loss of 23 million euros last year.