The Provincial Growth Fund (PGF) was set up by the Government to assist in growing business opportunities in the regions. The objectives of the PGF is to create jobs that lead to sustainable economic growth and diversification within our economy.
Applications for funding are available to individuals, non-government organisations, companies, iwi and charities, except those situated in Auckland, Wellington and Christchurch.
Also exempt from the funding are housing, water and large-scale irrigation projects and social infrastructure.
Every application will be assessed against certain criteria, which includes:
improving the productivity within a region
creating additional value
having a link to regional priorities
being well managed and well governed, with appropriate trade-offs between risk and reward.
If you are unsure whether a project will be eligible for funding you are able to submit an Expression of Interest. The PGF team will then provide feedback on your proposal.
There are three investment tiers:
Regional – Support for economic development projects, feasibility studies and capability building identified within regions. Applications under the regional tier will be assessed under the overall portfolio of the Government's support for a region.
Infrastructure – Support for regional infrastructure projects that enable the region to be well-connected from an economic and social perspective, including: roading, rail, digital technologies, and communications.
Sectors – Support for initiatives targeted at priority or high-value sector opportunities. This includes the One Billion Trees Programme. The PGF will consider projects that increase local skills, reduce environmental impacts, and improve the productivity of the sector and have export potential.
Funding options available will depend on whether the project is commercial or non-commercial, and the likely outcome of the project.
Grants will generally be made for non-commercial projects and possibly feasibility studies.
Loans are the preferred method of funding commercial projects, though additional caveats may be required for transport projects.
Additional help may be available by way of the PGF underwriting a project, helping match the project with potential investors, or by taking a part ownership in a project where further debt is not supported.
Additional funding options to help grow our regions is available under the following banners:
He Poutama Rangatahi
He Poutama Rangatahi focuses on getting young people, aged between 15-24 who are most at risk of long term unemployment, connected with employers and into long term employment. Applications for funding under this banner must fit in with areas noted under the PGF targets and be for no more than $1 million per annum.
Whenau Maori focuses on supporting Maori landowners to develop their land. Applications must fit in with the overall PGF criteria and are up to $10 million.
Te Ara Mahi
Te Ara Mahi focuses on getting local people into local jobs. Applications must meet the overall PGF criteria. It includes up-skilling people, and offering tailored support to help individuals become work-ready and able to gain and sustain employment.
Further information on the above funding options is available at www.growregions.govt.nz/get-funding/.