In a groundbreaking move, the German government has announced a significant funding project for companies oriented towards the common good. This initiative, part of the national strategy project launched last year, will provide a total of 110 million euros in funding from August 2024 to 2028.
The program, translated “Sustainable effect – promoting common good-oriented companies,” aims to strengthen and support businesses that prioritize social and ecological challenges over financial returns. While not exclusively for Economy for the Common Good (ECG) companies, the initiative uses the terminology “gemeinwohl-orientierte Unternehmen” (common good-oriented companies), aligning closely with ECG principles.
This initiative represents a major boost in recognizing the importance of focusing on the common good in business practices. It validates the ECG model and provides potential financial support for companies already aligned with these principles.
The funding program offers a unique opportunity for common good-oriented companies to professionalize, expand, and network. It addresses not only financial needs but also aims to provide entrepreneurial knowledge and successful implementation strategies. This holistic approach could significantly accelerate the growth and impact of the common good economy movement.
This is as a promising step towards mainstreaming common good principles in economic policy. As the largest funding program for public welfare-oriented companies in Germany to date, it marks a pivotal moment in the recognition and support of alternative economic models focused on societal and environmental well-being.
Image credits: @austindistel / Unsplash
