IFU is governed by the Act on International Development Cooperation.
IFU was founded by an act of parliament in 1967. IFU is a self-governing institution with legal personality, and the objective is to promote economic activity in developing countries in collaboration with Danish trade and industry.
IFU is not subject to the Danish Access to Public Administration Files Act, regarding its investments. Information regarding environment may under certain conditions be subject to disclosure according to the Environmental Information Act.
IFU's statutes were decided by IFU's board and approved by the Minister for Development Cooperation.