NEFCO is an international financial institution established in 1990 by the governments of Denmark, Finland, Iceland, Norway and Sweden. The structure of the Board of Directors and Control Committee reflects the ownership of NEFCO.
Board of Directors
The Board of Directors makes policy decisions concerning the operations of NEFCO and approves the financing of projects proposed by NEFCO’s Managing Director. The Board of Directors also approves the annual budget and is responsible for NEFCO’s financial statements. The Board of Directors may delegate its powers to the Managing Director where appropriate.
The Board of Directors consists of five Directors, each of whom has one Alternate. The Board of Directors and their Alternates are appointed by NEFCO’s owner countries for a term of up to six years at a time. The Board of Directors appoints a Chairman and a Deputy Chairman from among the Directors for a period of one year. The chairmanship and the deputy chairmanship rotate among the owner countries.
A representative of the Nordic Investment Bank and the secretariat of the Nordic Council of Ministers may participate in the board meetings as observers without the right to vote.
The Control Committee is NEFCO’s supervisory body. It ensures that NEFCO’s operations are conducted in accordance with the Statutes of NEFCO. The Control Committee is responsible for the audit of NEFCO and submits its annual audit report to the Nordic Council of Ministers.
The Nordic Council appoints five Nordic parliamentarians to the Committee. The Chairman of the Committee is appointed by the Nordic Council of Ministers. The Control Committee appoints two professional external auditors for the purpose of assisting the Committee in carrying out its work and responsibilities. One of the appointed professional auditors is from NEFCO’s host country (Finland) and one from another owner country.
The Managing Director is appointed by the Board of Directors for a term of up to six years at a time. The Managing Director is responsible for the conduct of NEFCO’s current operations and must follow the guidelines and instructions given by the Board of Directors. The Managing Director is assisted in his or her work by the Management Committee and different Investment Committees.
The Management Committee is an advisory body to the Managing Director. The Vice Presidents and the Managing Director form the Management Committee.
Locations and staff
NEFCO employs approximately 40 people. Its headquarters is located in Helsinki, Finland, and a Representative Office in Kyiv, Ukraine. NEFCO is also represented through long-term engaged consultants in St Petersburg, Russia.