FMO

Development Partners Launch Forum to Promote Sustainable Finance in Mongolia

Mon, 13 May 2013 12:50:54 +0200

Ulaanbaatar, Mongolia, May 13, 2013 – Dutch Development Bank FMO, Trade and Development Bank of Mongolia (TDB), IFC, a member of the World Bank Group, Mongolia Bankers Association (MBA) and the Banking and Finance Academy (BFA) today launched a sustainable finance forum to promote green growth in Mongolia as the country develops.

The four-day Mongolian Sustainable Finance Forum 2013, which started today with a CEO roundtable exclusively for banking chief executives and the Bank of Mongolia, aims to raise awareness, foster cooperation and facilitate policy development and knowledge sharing in sustainable development.

For the first time, different stakeholders, including local bank executives, government officials, key industry representatives and international experts, are gathering to discuss ways for the banking sector to capitalize on new business opportunities while ensuring Mongolia’s sustainable development. The resource-rich country is one of the world’s fastest-growing economies, having expanded 12.3 percent in 2012, according to the World Bank.

“It is a pivotal time for Mongolia’s economic development,” said Ms. Sanjaasuren Oyun, Mongolia’s Minister of Nature, Environment and Green Development, at the CEO roundtable. “The banking sector can play an important role in ensuring that the country’s economic growth can create long-term values and benefit more local communities.”

In the same vein, Mr. Bold Javkhlan, First Deputy Governor of the Bank of Mongolia said, “We are delighted that the sustainable finance forum is being organized in Mongolia. We hope that, in the near future, internationally recognized sustainable financing practices and standards will be implemented throughout the Mongolian banking sector. The journey has started and we will be working together with the banks to promote and support sustainable financing and development.”

The Mongolian government has attached great importance to green growth and environmental responsibility. In 2013, the government established a new National Green Development Strategy and an action plan to outline ways to build a greener economy.

In his opening speech, Mr. Nanno Kleiterp, Chief Executive Officer of FMO and co-convener of the event, expressed his delight at the high-level support for sustainability. “I am excited to see various stakeholders and decision makers presenting here today to support sustainability in Mongolia. I strongly believe Mongolia has the potential to become a leader in this new area among frontier economies.”

An increasing number of developing countries have created sustainable-finance frameworks and incentives, such as China’s Green Credit Policy and Nigeria’s Sustainable Banking Principles, to support the adoption of environmental and social standards as well as to explore sustainable business models. International organizations such as IFC and FMO have been leading this transformation with local partners in emerging markets.

“IFC’s own portfolio has shown that good environmental and social performance directly correlates with long-term financial return,” said Mr. Hyun-Chan Cho, IFC’s Country Manager for China, Mongolia, and Korea. “We are helping banks and companies in emerging economies to become more competitive and manage their non-financial risks smartly by sharing our global knowledge and local resources.”

TDB, one of the top five Mongolian banks with a focus on raising awareness on sustainability issues across the industry, has been implementing an internal environmental and social risk management framework it recently developed. “Environmentally and socially sustainable banking protects our assets and presents business opportunities by opening up new financial products and markets,” said Mr. Medree Balbar, Chief Executive Officer of TDB. “We are committed to sharing international best banking practices with our peers and educating our clients in this regard.”

Mr. Bold Magvan, President of the Mongolian Bankers Association, said, “Developing sector expertise and creating a level-playing field will be a crucial element for sustainability to thrive in Mongolia. In addition to using existing platforms and networks, we will be working together with the Bank of Mongolia, the Ministry of Environment and Green Development, and our international and local partners to assist the banking sector in building relevant knowledge and capacity over the short, medium and long term.” This view was echoed by Ms. Nergui Sandagjav, Director of the Banking and Finance Academy.

Mongolia’s central bank and its Ministry of Environment and Green Development are both represented in the Sustainable Banking Network for Regulators. The network, led by IFC, is an informal group of bank regulators and banking associations to develop standards, policies and guidelines for environmental and social best practices in their countries’ banking sectors.

The President of Mongolia, His Excellency Mr. Tsakhiagiin Elbegdorj, is expected to give a keynote speech at an industry seminar on May 15. More than 200 professionals from different sectors of the economy are expected to attend.

About FMO
FMO supports sustainable private sector growth in developing and emerging markets by investing in ambitious entrepreneurs. FMO believes a strong private sector leads to economic and social development, empowering people to employ their skills and improve their quality of life. FMO focuses on three sectors that have high development impact: financial institutions, energy, and agribusiness, food & water. With an investment portfolio of EUR 6.3 billion, FMO is one of the largest European bilateral private sector development banks.

About TDB
TDB, the oldest and the largest corporate bank in Mongolia, prides itself for its leading position as the universal banking service provider, offering full range of services delivered with dynamism and excellence in service and quality. TDB was the first to introduce modern banking technology, adopt IASB standards in financial reporting, become a member of SWIFT network, offer card and ATM services and commence gold exports into the foreign market. As the top international expertise derived from State bank of Mongolia origins, TDB is undoubtedly the international face of Mongolia with strong capabilities in corporate banking, international banking, treasury, retails and SME banking.

About IFC
IFC, a member of the World Bank Group, is the largest global development institution focused exclusively on the private sector. We help developing countries achieve sustainable growth by financing investment, providing advisory services to businesses and governments, and mobilizing capital in the international financial markets. In fiscal 2011, amid economic uncertainty across the globe, we helped our clients create jobs, strengthen environmental performance, and contribute to their local communities—all while driving our investments to an all-time high of nearly $19 billion. For more information, visit www.ifc.org.

About MBA
The Mongolian Bankers Association is an independent, non-profit, non-government organization established in 2000 by the banking and non-banking financial institutions in Mongolia. As of today, we are the voice for 19 member financial institutions including 14 commercial banks, 4 non-bank financial institutions and one foreign Bank Representative Office. The Vision of the MBA is to become a powerful professional organization representing the bankers and financial officers, to lead the banking and financial sector to ensure the sustainable development and equitable economic growth of Mongolia, and to contribute substantially to the development of the country as the regional financial center

About BFA
The Banking and Finance Academy is a professional training institute of the banking and financial sector of Mongolia. It was established by several commercial banks of Mongolia with a goal to provide the most immediate and/or up-to-date training services for Mongolian banking and financial professionals and practitioners to enhance their professional knowledge and skills. The Academy is serving the growing need for professional financial education in the Mongolian banking and financial sector and the public.

For more information, contact:

Paul Hartogsveld

Communications advisor (PR)

T: +31 70 314 99 28
M: +31 6 11 58 9127
E: p.hartogsveld@fmo.nl

FMO invests in APM Terminals Callao in Peru

Mon, 06 May 2013 15:00:53 +0200

FMO is pleased to announce the successful closing of a USD30 million transaction with APM Terminals Callao, Peru.

The financing will be used for the expansion and refurbishment of the existing multi-use terminal in the Port of Callao. Callao serves Peru’s main economic region but the lack of adequate infrastructure hinders the country’s competitiveness and economic growth. While the Country has shown robust GDP growth in the past 5 years, 28% of the population (or 8.3 million people) still live below the poverty line. International trade plays a significant role in Peru’s economic growth and is therefore a crucial factor for poverty alleviation. The Project is highly developmental as it will provide much needed container handling capacity for the Country.

Central Africa SME Fund reaches final close at USD 19 million

Mon, 29 Apr 2013 11:24:48 +0200

Dutch fund manager XSML announced the final close of its Central Africa SME Fund (CASF). With increased commitments from two of its existing investors, FMO and Lundin Foundation, the fund reached a final close of USD 19 million. To date, the fund has made 12 investments, 9 in DRC and 3 in CAR, in a wide variety of sectors including agri-business, education, healthcare, information technology, manufacturing, pharmaceutical production, telecom and transport. CASF expects to make a total of 35 investments over the life of the fund.

Jarl Heijstee, Managing Partner at XSML said: “With the increased funding from our investors the fund can provide long term risk capital to an additional 8 to 10 SMEs in DRC and CAR. Long term capital remains scarce in Congo and the Central African Republic. The increased capital commitment is also a testimony from our current investors that investing in SMEs can be done in a sustainable, profitable manner in these frontier markets”

Natalie Shriber, Investment officer at FMO commented: “DRC and CAR remain challenging investment geographies, particularly in the SME space, but CASF and XSML are proving that financial and social returns are achievable and we are very proud to back them in this exciting venture.”

Stephen Nairne, executive director at Lundin Foundation stated: “From our perspective, there is both a business opportunity and moral imperative to invest in post-conflict settings. XSML’s management team has done a superb job of navigating two very complex business environments, and we are pleased to increase our level of support.”

CASF is a fund investing in small and medium-sized enterprises in the Democratic Republic of Congo (DRC) and the Central African Republic (CAR). The fund believes in achieving sustainable economic development by encouraging entrepreneurship in the fast growing frontier markets of DRC and CAR. Currently, many opportunities in these countries remain unexploited due to the lack of risk capital and support. By supporting such entrepreneurial endeavors, jobs and wealth are created. CASF allocates 80% of its risk capital to DRC and 20% to CAR, with an investment size ranging from USD 100,000 to a maximum of USD 500,000. Anchor investors in CASF are IFC, FMO and the Lundin Foundation. CASF operates from its offices in Kinshasa, DRC, Bangui, CAR and Amsterdam, The Netherlands.

About FMO

FMO (the Netherlands Development Finance Company) is the Dutch development bank. FMO supports sustainable private sector growth in developing and emerging markets by investing in ambitious entrepreneurs. FMO believes a strong private sector leads to economic and social development, empowering people to employ their skills and improve their quality of life. FMO focuses on three sectors that have high development impact: financial institutions, energy, and agribusiness, food & water. With an investment portfolio of EUR 6.3 billion, FMO is one of the largest European bilateral private sector development banks.

About Lundin Foundation

The Lundin Foundation is a philanthropic organization founded originally by the Lundin family. The Foundation is currently supported by a number of publicly traded natural resource companies committed to the highest standards of corporate responsibility. The Lundin Foundation embodies the entrepreneurial spirit of the Lundin family. The Foundation provides risk capital in the form of investments into high potential small- and medium-sized businesses, with a view to generating wealth and employment needed to alleviate poverty on a sustained basis. It also provides strategic grants to early stage innovations and for technical and managerial assistance.

About XSML

XSML is an independent private equity fund manager with a strategic focus on emerging markets. As an architect, building new funds and local fund managers in frontier markets, XSML, eXtra Small Medium Large, aims to grow small businesses into medium and large enterprises. XSML was founded in 2008. The managing partners have an extensive background in emerging markets in the areas of asset management, corporate and development banking and corporate restructuring. Our experience have shown that demand for finance from small and medium sized enterprises (SMEs) remains largely untapped despite increased interest in emerging markets from international investors. XSML bridges this gap between the international investors and the SMEs in emerging markets.

Hybrid vegetable seed company HFT Seedservices SA expands in Guatemala

Thu, 25 Apr 2013 16:07:07 +0200

HFT Seedservices SA (‘HFT’) has been active in Guatemala since 2010. At a height of 1750m in the province of Jalapa, HFT produces hybrid vegetable seeds for its customers: renowned national and international vegetable seed refinement companies. HFT is able to produce seeds for its clients year-round, which occurs in line with the strictest phytosanitary standards. The basis of HFT’s strategy is after all, Health, Flexibility and Trust, also to be found in company name HFT.

With the support of a EUR 4 mln credit facility of the Fund Emerging Markets Development Aid (FOM-OS), HFT will expand its business in Guatemala after its successful start in 2010. The expansion plan exists of the construction of extra greenhouses, all equipped with unique high-tech systems and developed by HFT itself. The expansion will create 190 new jobs, mostly for women. Furthermore, HFT actively assists its employees in their personal development and offers medical care and schooling as well. HFT plans to add child care to this in the future.

FMO and AfricInvest sign share purchase agreement with NMBZ in Zimbabwe

Mon, 15 Apr 2013 15:48:19 +0200

Harare, 11-04-2013 – During a ceremony held at NMB head office in Harare, FMO (the Netherlands Development Finance Company) and AfricInvest (a pan-African investment group) signed agreements, each for the purchase of 8.99% of NMBZ’s shares. This issuance of new shares is meant to help NMB Bank strengthen its capital base, supporting the growth of the bank and helping it to comply with recently-increased minimum capital criteria. The investment is part of a total package of capital injections that also includes Norfund (the Norwegian development institution). In addition to their financial contribution, the investors plan to contribute to the the bank’s development by nominating top-level experienced board members and by providing technical assistance in areas requiring further strengthening.

The signing ceremony was well attended by the Ambassador of the Netherlands to Zimbabwe, Mrs. H.M.B. Joziasse, NMB and NMBZ top management and directors, representatives of FMO and AfricInvest, and representatives of the local press. The Ambassador’s attendance underscored the importance of the ties between the Netherlands and Zimbabwe, both in terms of business and development cooperation.

Speaking at the ceremony on behalf of FMO, Decio Tractenberg (Senior Investment Officer) commented: “For FMO, this equity investment cements a relationship with NMB Bank that has been developing over the last three years. An equity participation is the logical next step after concluding a loan term financing facility in 2011 and providing a trade finance facility earlier this year. With a unique combination of excellent management, strong local roots and world class international shareholders, NMB is well-positioned to become one of the top banks in Zimbabwe.”

James Mushore, Group Chief Executive Officer of NMBZ stated: “We are delighted that we have been able to attract investors of this calibre to become shareholders in NMB. This investment speaks volumes of the trajectory that NMB is now pursuing – an enhanced shareholder profile, robust Risk and Corporate Governance systems and a strong management team to propel NMB into the top tier of banks in Zimbabwe.”

Ziad Oueslati, Founding Director of AfricInvest said, “I was first in Zimbabwe four years ago and have been impressed by the progress made by the country since then. Africinvest has a history of supporting sustainable development of African businesses since 1994. We are proud to become a shareholder and a partner to NMB and to contribute with all stakeholders in building it into one of the best-run banks in terms of service offering in the region and increasing its outreach to local SMEs.”

About FMO

www.fmo.nl

About AfricInvest

AfricInvest is today one of the leading private equity firms in North and sub-Saharan Africa with over USD 750 million of assets under management across 13 private equity funds sponsored by prestigious development finance institutions (DFIs), private and institutional investors. The covered and targeted region evolved over the life of the group from Tunisia to the Maghreb region (Maghreb Private Equity Funds I, II and III) and subsequently, sub-Saharan Africa (Africinvest Funds I & II and the Africinvest Financial Sector Fund). The Group has an excellent track record with over 100 investments made across several sectors and almost 50 exits realized to date. www.africinvest.com.

About NMBZ

NMBZ is a Zimbabwean based investment holding company whose principal subsidiary is

NMB Bank Limited, a registered commercial bank. The Group has dual listing on the Zimbabwean Stock Exchange and the London Stock Exchange. NMB Bank Limited was established in October 1992. The Bank is led by a strong management team supported by a highly qualified board of directors with diversified skills base.

www.nmbz.co.zw

Interested in investing in emerging markets and developing countries?

Thu, 11 Apr 2013 09:13:55 +0200

Interested in investing in emerging markets and developing countries? Than as of today you can visit the new Dutch search engine and portal: OndernemenInOntwikkelingslanden.nl

This portal is developed for Dutch entrepreneurs interested in either managing, setting up or expanding businesses in developing countries and emerging markets. It is an information source and it provides showcases of Dutch entrepreneurs who have ventured out into these markets.

FMO is one of the partners of this intiative, that was set up by Partos, VNO-NCW, MKB-Nederland, the Ministry of Foreign Affairs, NL Agency en NCDO.

FMO finances a leading integrated agribusiness company in Zambia

Fri, 29 Mar 2013 17:15:00 +0100

FMO and DEG provided a senior debt facility to Zambeef Plc. Zambeef Plc. is a leading integrated agribusiness company in Zambia, involved across the value chain (production, processing, distribution and retailing) of beef, chicken, pork, dairy products, edible oils, stock feed, grains, flour and bread. The funds will be used to further develop the edible oils activities of Zambeef Plc.

Zambia is one of the 55 poorest countries. By supporting the expansion of its operations, employment generation is realized in a country with relatively high unemployment rates. Also, due to increased production, consumers will benefit from better access to affordable food products.

Dutch success stories in Ukraine

Wed, 03 Apr 2013 16:14:39 +0200

Many Dutch entrepreneurs have already done business in the Ukraine. Others are interested but do not know how to start or await a right business opportunity. On the 19th of March, the Netherlands-Ukrainian Council for Trade Promotion (NOCH) offered an opportunity to Dutch companies to enter the Ukrainian market or to expand their activities there, by organizing a seminar at the Dutch Development Bank FMO in The Hague. During this seminar, Dutch entrepreneurs have shared their experiences, know-how and the do’s and don’ts on doing business in Ukraine.

Moderator of the day Mr. Ton van der Velden, director at Tebodin, shared his experiences on how Tebodin became successful in Ukraine. The engineering company is active in Ukraine for already twenty years and strongly believes that with qualified and trained local management and staff a Dutch company can become a main player in the Ukrainian market. This vision was agreed upon by Dutch farmer Kees Huizinga. Ten years ago, Mr. Huizinga started his agricultural activities on 1,000 hectares of land in a village between Kiev and Odessa. Over the years, the Kishchentsy farm has turned from a Soviet Kolkhoz into a large farm covering 15,000 hectares on the fertile black soil of Ukraine.

Kishchentsy employs many local people from the region and produces grains, sugar beet, corn, rape seed and soya beans for the Ukrainian market and for export. Moreover, 350 milk cows with young cattle and 400 sows with meat pigs add up to their business. Kischentsy Farms is also active in local construction projects which directly support the local communities. The mission of Kishchentsy is to become the best farm by respecting natural resources and making profit at the same time. Kishchentsy is therefore investing in the local economy, nature and by training local employees. FMO has invested in Kishchentsy in order to make the necessary investments and eventually develop to 25,000 hectares. However, Huizinga realizes that the company should not grow too fast and that one first needs to work more efficiently, intensely and precisely. Mr.Huizinga stateshat Kischentsy is perceived as a reliable and trustworthy company but realizes that he will always remain a guest in Ukraine. But then Kischentsy at least makes sure that the company acts in a guest-like manner by speaking the Ukrainian language, respecting the culture and living up to the entrepreneurial responsibilities as well.

Nico Pijl, Chief Risk & Finance Officer at FMO

Nico Pijl, Chief Risk & Finance Officer at FMO, explained that FMO invested in a company such as Kishchentsy Farm out of its Fund Emerging Markets (FOM). Through this fund, FMO stimulates Dutch enterprises to invest in emerging markets and developing countries. FOM financed several projects in the agro and food processing sector in Ukraine. FOM projects to increase its’ investments in Dutch companies in Ukraine in the present and upcoming years.

During the seminar, Senior Vice President M&A, Tibor Leeuwenburgh of AEGON Group Business Development, shared his experiences on the recent acquisition of Fidem Life by AEGON. Fidem Life is the fifth largest life insurance company in Ukraine, which is meant to further strengthen AEGON’s position on the Central and Eastern European market. AEGON has been active in the region since 1992 and currently has operations in Hungary, Poland, the Czech Republic, Slovakia, Romania and Turkey. Ukraine offers a company like AEGON an attractive long-term growth opportunity due to an Ukrainian market of 45 million inhabitants with an upcoming middle class and a GDP and penetration of life insurance in the country which is expected to double by 2015. Due to the strong, Western-style leadership team of Fidem Life chaired by a Dutch CEO and a robust operating process, a stable and promising platform was found by AEGON in Fidem Life. Personally, Leeuwenburgh was positively impressed by the high female participation in the Ukrainian workforce and the pragmatic approach towards reaching a mutually beneficial agreement.

After the interesting presentations, more than 60 entrepreneurs shared their experiences on doing business in Ukraine during the network reception offered by FMO.

Interested in becoming a member of the Netherlands-Ukrainian Council for Trade Promotion (NOCH) and start doing business in Ukraine?

Please contact Ms. Marieke van der Wilk, Area Manager Central and Eastern Europe via e-mail mvanderwilk@nchnl.nl or directly by phone +31 (0)70 3441554.

Contact for FMO/FOM-finance in Ukraine: Mr. Paul Wolff, via e-mailp.wolff@fmo.nl or directly by phone +31 (0)70 3149555

FMO invests in Au Financiers

Thu, 28 Mar 2013 14:44:50 +0100

FMO, the Dutch development bank, has today announced a new investment providing up to US$20m to Au Financiers (AUF), a non-bank finance company (NBFC) in India. AUF specialises in providing finance to entrepreneurs for the acquisition of small and medium-sized commercial vehicles. FMO was the lead arranger of a joint facility with other lenders who will together provide up to US$60m to the company.

Not only will the investment from FMO be used to expand AUF’s commercial vehicle finance business, but it will also help the company grow in new business segments such as lending to small and medium-sized enterprises (SMEs) and affordable housing finance. The facility will directly contribute to the creation of 2,000 jobs at AUF as well as thousands more through its client base of SMEs.

AUF’s core business offers collateralised loans for commercial vehicles to clients who are typically first-time entrepreneurs located in under-banked rural and semi-urban areas. The commercial vehicles, including tractors, trucks, vans, cars and two- and three-wheeled vehicles, are used for productive purposes such as agriculture and transport.

As well as providing finance for commercial vehicles, AUF provides finance to small businesses such as shopkeepers, manufacturers and traders with a successful track record, but with limited income documentation.

AUF now also provides housing finance for lower-income borrowers who purchase homes under affordable housing schemes offered by state governments, as well as to finance construction on a piece of land already acquired, or for home extensions. Housing finance in India is at a nascent stage with a mortgage/GDP ratio of 10% compared to 20% in China or 80% in the US.

India’s financial sector consists of more than 400 banks and over 12,000 NBFCs, which account for 12% of assets in the sector. Urban areas are generally well-banked, but the rural and semi-rural areas, where 65% of the population lives, are often heavily underserved as it is uneconomical for banks to open branches in these sparsely populated regions. NBFCs often play an important role in providing financial services in these areas, so therein FMO’s investment will have a strong development impact by improving access to finance for entrepreneurs.

Founded in 1996 in Jaipur, AUF has established a strong market position in Rajasthan, one of India’s poorest states, and also expanded into Maharashtra in 2006 and into Gujarat in 2009. Since then, growth has continued and it now employs around 2,000 people serving over 150,000 customers through its 173 branches in eight states, including Chhattisgarh, Goa, Madhya Pradesh and Punjab.

AUF has a relationship-based origination and credit model based on extensive, direct contact with clients through relationship managers. This is facilitated by AUF’s strong presence on the ground and locally-recruited staff that have a strong understanding of the local market. The vast majority of customers are self-employed first-time borrowers and do not have any formal documentation of income.

While many of AUF’s customers have low-incomes, all loans are given on productive assets and the company has detailed credit appraisal and debt collection guidelines to ensure that loans are not made to customers who are unable to meet repayments. Credit officers receive regular training in these processes. AUF also has a Social and Environmental Management System in place that ensures that the entrepreneurs it serves operate in accordance with local and national law and core ILO labour standards.

Commenting on the transaction, FMO’s CIO, Jurgen Rigterink said: “The facility will contribute to the creation of some 2,000 jobs in the company itself and beyond this we expect the investment to enable AUF to reach an additional 9,000 small entrepreneurs and SMEs in parts of regions of India which are historically underserved by commercial banks. AUF has performed impressively since it was founded in 1996 and we’re excited to be a part of the next stage of its growth.”

About FMO

Press contact:

Paul Hartogsveld

p.hartogsveld@fmo.nl

(+31 6 11 58 91 27)

Strong results FMO: focus on impact

Wed, 27 Mar 2013 10:13:54 +0100

• EUR 1.4 billion in new investments

• EUR 6.3 billion total committed portfolio

• EUR 146 million net profit

• Growth of sustainable business

• New strategy announced

New strategy focus on sustainable investments and impact

FMO (the Dutch Development Finance Company) published its 2012 annual results today.

The total investment portfolio increased to EUR 6.3 billion (2011: EUR 5.9 billion). The quality of the portfolio remains strong. The net interest income increased, and the market for exits in equity investments proved to be favourable. A net profit of EUR 146 million in 2012 (2011: EUR 93 million) will increase investments and impact in developing countries.

Attractive opportunities in developing countries

“These results signify the changes we see taking place around the world, with developing countries becoming more and more important destinations for finance. The positive growth shows that there are attractive opportunities for both local and international companies to invest. Our results confirm the continuing shift of economic growth to the developing countries”, according to Nanno Kleiterp, CEO of FMO.

Sustainable impact essential

“The world’s population will grow from 7 billion people now to 9 billion people in 2050. If we want to live well, we have to take into account the scarce resources of our planet. The continuing mismanagement of global public goods, such as carbon emissions, water and fisheries is fuelling climate change and posing a genuine threat to humanity. We must rethink the way we produce and consume.”

“With all the global sustainability challenges it is increasingly important to support those businesses that contribute to a more sustainable future. The private sector plays a vital role in the sustainable economic development in developing countries”, says Kleiterp. “That’s why we implement, together with our clients, sustainability in their business processes. We realized more than 85% (2011: 80%) of the environmental, social and governance (ESG) improvement agreements we set with our clients. This proves that sustainable business is growing also in developing countries.”

New strategy period

“With the strategy period 2009-2012 coming to an end, we have created a strong performance and portfolio growth for FMO and increased our impact in developing countries.”

“Our 2013-2016 strategy is focused on becoming the leading impact investor. While we continue to invest in the private sector in developing economies, we will do so in a way that reflects our mission to help entrepreneurs to create a better world. This will enable us to establish our goal of doubling our impact and halving our footprint. Based on our long-standing experience in sustainable development, we strongly believe that combining economic growth, green development and social inclusiveness is the only way to enable people to build a better live.”

In 2012, FMO introduced an Investment Management arm. The goal is to offer institutional investors the opportunity to benefit from the growth and attractive returns in the markets where we are active, while at the same time contributing to impact and poverty alleviation.

Growth in the Dutch market

“FMO has a unique position between the Netherlands and developing markets. This position can benefit both clients and stakeholders in the Netherlands. This will be done by providing finance to Dutch companies expanding into developing countries and establishing partnerships with universities and business networks. We see potential opportunities in cooperation on sustainability and climate change, where the Netherlands has proved to be knowledgeable.”

Outlook

“We cautiously expect a continuing growth of developing countries. Given the good state of the economy in many of our markets and the projects in our pipeline, our outlook remains predominantly positive for 2013”, according to Kleiterp.

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The Annual Report 2012 will be published by FMO on http://annualreport2012.fmo.nl/

on March 27, 2013, 8.30 am CEST.

About FMO

Press contact:

Paul Hartogsveld

p.hartogsveld@fmo.nl

(+31 6 11 58 91 27)

FMO arranges USD 86 million for Banco del Pais of Honduras

Thu, 28 Mar 2013 14:43:05 +0100

Last month FMO and Banco del Pais of Honduras celebrated the closing of a USD 86 million syndicated transaction to support the much needed private sector development with long term funding. Banco del Pais is the 5^th largest bank in Honduras with total assets of USD 1.3 billion and is part of the Banco Industrial group with presence in Guatemala, El Salvador and Honduras. The bank was founded in 1992, acquired by the Banco Industrial group in 2007 and currently employs over 2000 people in Honduras.

FMO was mandated as lead arranger and managed to arrrange USD 26 million 3-5 years debt from 6 commercial banks from Guatemala and Panama. All banks confirmed that this is their first Honduras exposure. Furthermore, FMO introduced BIO (USD 15 million) and DEG (USD 20 million) to Banpais and took USD 25 million on its own books. This landmark transaction is a successful restart of FMO on the Latin American syndications market. In the February Latam league tables FMO showed up in the top 10 after big names such as Deutsche, Wells Fargo and BoA.

FMO invests in improving agricultural productivity in Nigeria

Fri, 22 Mar 2013 14:43:04 +0100

In February 2013, FMO contracted a financing transaction with Indorama Eleme Fertilizer & Chemicals Limited (“IEFCL”). IEFCL is to construct and operate Nigeria’s largest fertilizer production facility, located near Port Harcourt in the Niger Delta. Upon completion, the facility will produce 1.4 million tonnes granulated urea per annum that will be sold domestically as well as abroad.

The total project cost is budgeted at USD 1.2 billion, of which USD 800 million will be financed by debt. IFC is the lead arranger for the Development Financial Institutions (“DFI”) tranche, which amounts to USD 375 million. FMO will participate, on a parallel basis, for an amount of USD 30 million.

The project has important positive impacts on economic development, inclusive growth, and climate change. Regarding economic development, the project will contribute to the Government of Nigeria’s strategy of industrial diversification away from the dominant oil and gas industry. It will help develop the domestic agriculture sector by improving farm yields and productivity, critical elements to Nigeria’s long-term food security. Regarding inclusive growth, the project will make substantial contributions towards creating local employment opportunities. In addition, it will generate government revenues and pay dividends to the regional government, host communities, and local employees, each of whom hold indirect ownership stakes in the project. Finally, the project will help reduce gas flaring in the Niger Delta. Gas flaring is one of the biggest contributors, globally, to CO2 emissions

The investment cements the long-term relationship between FMO and IEFCL’s ultimate parent company Indorama Corporation, an FMO client since 1990.

Nanno Kleiterp key-note speaker at Pymwymic Impact Days

Fri, 22 Mar 2013 14:22:19 +0100

Pymwymic Impact Days is Europe’s most inspiring and focused gathering for the groundswell movement of people choosing to make positive impact with capital.

Goal of the Pymwymic Impact Days is to learn and participate with the (extra)ordinary people making the new economy: world changing entrepreneurs and next-gen thought leaders, experienced impact investors and new business angels who are all increasing the flow of capital to good.

FMO is proud to be one of the Impact partners for this years’ Pymwymic Impact Days (15 - 17 April).
Our CEO, Nanno Kleiterp, will address the participants in his key note speech during the opening night dinner.

For more information go directly to: http://www.pymwymic.com/impactdays/

FMO invests in micro-irrigation systems manufacturer Jain Irrigation Systems

Thu, 14 Mar 2013 10:22:38 +0100

FMO has invested in a senior debt facility and a foreign currency convertible bond that will be provided to Jain Irrigation Systems Ltd. as part of a greater financing package.

Jain Irrigation Systems Ltd. is one of India’s largest integrated agribusiness players, with manufacturing operations in micro irrigation systems and piping systems, PVC sheets, agro processed products and renewable energy. Jain is the second largest micro irrigation systems player globally and is the leading market player in India.

Adoption of micro irrigation systems by farmers increases farm yields and decreases the dependency on weather conditions, having a direct positive impact on farmers’ income. Furthermore, it improves water management. In India, 80% of water resources is being used by agriculture and hence maximizing water usage is essential.

The funds of the financing package will be used by Jain Irrigation Systems Ltd to expand its domestic capacity in India, helping the company to remain a market leader in India, and to continue international expansion in several countries in Africa.

Interview with Nanno Kleiterp in Vice Versa, Dutch magazine about development aid

Wed, 06 Mar 2013 11:44:39 +0100

Nanno Kleiterp, CEO of FMO, is interviewed about a private sector approach for development aid. In his view, you need to make a distinction between development aid and industrial policy. The interview is in Dutch and can be found on the website of Vice Versa, magazine for development aid. More

FMO organizes seminar "Successfully doing business in Ukraine"

Tue, 05 Mar 2013 16:03:23 +0100

Successfully doing business in Ukraine

FMO

Anna van Saksenlaan 71, Den Haag

19 March 2013, starting 15.00 pm

Language: Dutch

Doing business in Ukraine. Many Dutch entrepreneurs have experienced this, others are interested but still looking for ways to start. This seminar offers possibilities to learn about the developments in the country, the “do’s and don’ts” and to exchange experiences and know-how during the Network ”drinks”.

Two Dutch entrepreneurs, Mr Kees Huizinga and Mr Tibor Leeuwenburgh, will share their experiences in Ukraine with you. Mr Huizinga presents the story of Kishchentsy farm and Mr Leeuwenburgh the recent acquisition of Ukrainian life insurance company Fidem Life by Aegon. Mr Nico Pijl gives you some of FMO’s views on Ukraine while Mr Ton van der Velden shares a number of observations with you based on his long-standing experience with Ukraine.

Program

15.00 Registration and coffee/tea

15.30-15.40 Welcome and introduction on FMO in Ukraine

Mr. Nico Pijl, Chief Risk & Finance Officer, FMO

15.40-15.55 Opening by the Chairman

Mr. Ton van der Velden, Director Tebodin B.V. and Board Member

of NOCH, Nederlands-Oekraiens Centrum voor Handelsbevordering

15.55-16.15 Case story

Mr. Kees Huizinga, Director and shareholder, agri/dairy company Kishchentsy

16.15-16.30 Case story

Mr. Tibor Leeuwenburgh, Senior Vice-President, Aegon

16.30-16.45 Q&A

16.45-17.00 Wrap-up by the Chairman

17.00-19.00 “Borrel” and Networking

New African credit fund launch

Mon, 11 Feb 2013 17:36:27 +0100

FMO is pleased to announce the launch of the first dedicated African credit and debt capital markets fund of its kind globally in which FMO is an anchor investor. The Investec Africa Credit Opportunities Fund 1 is a dedicated closed-ended fund aiming to raise USD 350 million.

The fund aims to provide growth capital to African companies, thus offering an alternative to traditional bank funding, encouraging growth and employment, and fuelling the long-term development of Africa’s debt capital markets. This is done by landmark investments from both FMO and CDC, the UK’s Development Finance Institution. FMO sees development capital allocating specifically to African debt capital markets in order to achieve its dual aims of development and return.

“Magchiel Groot, Senior Investment Officer Private Equity at FMO, said, "FMO is particularly proud to be an anchor investor, to highlight the Africa opportunity and ultimately facilitate the raising of up to USD 350 million for the deployment of debt capital markets in Sub-Sahara Africa. As other African investors are assessing the fund, Investec Asset Management, FMO and CDC have been instrumental in making this largely South - South connection possible for the development of debt capital markets in Sub-Sahara Africa. This is a great example of Africa empowering and funding the growth of Africa".

The fund, managed by Investec Asset Management’s South Africa and Frontier Credit team, has been designed with the aim of giving investors high yields, the ability to access the African public and private markets across all sectors, USD exposure and lower volatility than other risk assets.

Over an 8.5 year term the fund will look to deliver its dual aims of both development and return, primarily through investment in a diversified portfolio of corporate debt. The investment approach aims to provide access to the broadest opportunity set available, locking in high yields and capital appreciation. Risk is minimised through sector, country and counterparty diversification.

FMO and CDC have committed USD 60 million to the fund. Other global institutional investors have shown strong appetite for the fund.

Investec Asset Management has developed a broad range of Africa-specific investment strategies within its comprehensive Emerging Markets and Frontier investment capability, spanning public equity, private equity and both sovereign and corporate debt, each designed to offer investors tailored access to the African growth story. Founded over 20 years ago in South Africa, Investec Asset Management has grown from emerging market roots into a global investment manager with an established specialist African investment capability, and remains one of the largest managers of third party assets in Africa.

For further details, journalists are welcome to contact:

Paul Hartogsveld

Communications advisor (PR)
T: +31 70 314 99 28
M: +31 6 11 58 9127
E: p.hartogsveld@fmo.nl

Advans Microfinance Bank launches its operations in Nigeria

Thu, 07 Feb 2013 15:59:15 +0100

Following the recent announcement of the opening of its first greenfield micro finance institution in Pakistan, Advans SA - the international venture capital company specialised in microfinance - has now opened a new greenfield microfinance institution in Oyo State, Nigeria. Headquartered in the city of Ibadan, La Fayette Microfinance Bank Limited (Advans Nigeria) is the seventh greenfield of the group. Advans Nigeria is 50.1% owned by its founder shareholder Advans SA and FMO is with 15% of the shares one of the minority shareholders.

As a registered microfinance bank, Advans Nigeria offers a complete range of financial services to micro, small and medium-sized enterprises (MSMEs): loans range from NGN 30,000 (about EUR 140) to NGN 1,000,000 (about EUR 4,700), as well as current and savings accounts for both individuals and MSMEs. Ibadan is Nigeria’s third largest city, and Advans Nigeria plans to extend its offer to other regions of Oyo State over the coming years.

Dutch contributions to sustainable energy for all in developing countries

Thu, 31 Jan 2013 12:41:09 +0100

On 29 January 2013 FMO, SNV and Philips jointly organised an expert event titled Empowering Progress. The meeting was organised as first action after the ‘2012 International Year for Sustainable Energy’. The aim of the meeting was to present and promote cooperation between Dutch parties in order to increase investments and find solutions to create access to (sustainable) energy for the 1,4 bln people who are deprived from access to energy now.

More than 100 persons from the Dutch (renewable) energy sector, business leaders, manufacturers, financers, engineers, scientists, policy makers, regulators, consultants, academics and knowledge brokers gathered at the Caballero Factory in The Hague to meet and discuss ideas and possible partnerships.

FMO’s CIO Jurgen Rigterink gave a warm welcome to all persons present. Speakers at the event included Dr. Kandeh Yumkella, chairman of UN-Energy, director general of UNIDO and CEO of the Sustainable Energy for All initiative, Christiaan Rebergen, Deputy DG International Ministry of Foreign Affairs and Dan Dorner, Senior Energy Analyst, International Energy Agency (IEA).

After the plenary sessions two Roundtable discussions followed, where projects,innovations and solotions to problems encountered were presented and discussed. On behalf of FMO, Bernhard van Meeteren presented the Kivuwatt project and Aart Mulder elaborated on Biodigester programme which FMO executed together with SNV. Well-known Dutch sustainable entrepreneur Maurits Groen operated as a side kick for the excellent moderator Rens de Jong (BNR Newsradio).

Lively presentations and lots of interaction with the audience contributed to an inspiring and successful event. The event showed a lot of innovative ideas, projects and products and showcased the need for intensifying efforts and cooperation to make sure that all people on the planet get access to (sustainable) energy. The organisers will continue to work together to build on the momentum created by this event.

For more information look at http://empower.fmo.nl/home

Koppert Biological Systems moving into the Brasilian market

Wed, 30 Jan 2013 17:48:33 +0100

The Dutch magazine for the horticulture sector Kas Magazine has a monthly section about Dutch horticulture entrepreneurs with subsidiairies or joint ventures in emerging markets. FMO is supporting these entrepreneurs with the Fund Emerging Markets - a joint initiative of the Dutch Ministry of Economic Affairs and FMO.

Current issue of Kas Magazine features an interview with Paul Koppert, managing director of Koppert Biological Systems. They produce biological crop protection and natural pollination. Last year they took over Itaforte, a Brasilian producer of microbiology products. In this article he explains the rationale and the opportunities he sees for his products in the Brasilian market. For the full article (Dutch only), please click here

The Fund Emerging Markets provides medium and long term loans to companies or joint ventures in emerging markets that are majority owned or controlled by Dutch enterprises. In many cases, no appropriate commercial financing is available for these joint ventures and subsidiaries for the construction or expansion of a production plant or to buy new equipment. Also, tenors are often too short or excessive security is needed.

FMO partners with AFC to launch early stage project development facility

Wed, 30 Jan 2013 13:32:31 +0100

FMO and Africa Finance Corporation (AFC) today reached an important milestone by launching a project development facility (the Facility). - The Facility will make early stage investments in projects under development, pre-financial close, in the infrastructure sector across sub-Saharan Africa.

Improved governance and macroeconomic conditions have not increased Africa’s share of global private infrastructure investment, despite the substantial and growing demand for infrastructure. Few bankable infrastructure projects have closed in Africa in recent years, principally due to a lack of early stage development risk capital and the expertise to take such projects to financial close. AFC is an African-led multilateral financial institution, established in 2007 in Lagos, Nigeria, whose mission is to improve African economies by proactively developing and financing infrastructure, industrial and financial assets. In respect of early stage projects, AFC was established to help address two major gaps in the development and financing of infrastructure projects in Africa:- the lack of availability of early stage risk capital; and the lack of adequate project development and project structuring capacity to drive projects from vision to bankability and delivery. AFC thus offers a unique value proposition by providing early stage risk capital and project development advisory services, in order to increase the pipeline of bankable and well structured infrastructure projects in Africa, in addition to its more usual debt, equity and advisory offerings.

Currently in its sixth year of operation, AFC is playing a major role in bridging the Continent’s critical infrastructure investment gap by undertaking the leading role in a number of projects under development. In Ghana, AFC is working with local and international partners to develop a 340MW combined cycle thermal independent power project. The project is at an advanced stage of development and financial close is expected by mid-2013, with commercial operations expected to commence in 2016. In Cape Verde, AFC is the largest equity investor in a USD90 million, 26MW wind farm - Cabeolica - the first commercial wind farm public private partnership (PPP) in Africa. The project, now fully operational, comprised the development, construction, and operation, of the facility. It now provides approximately 25% of the Island State's power in an economic, environmentally safe and sustainable manner.

The USD15 million Facility will fund early-stage equity investments in projects under development by AFC, and third party developers, including those referred to the Facility by FMO. The Facility will be managed by AFC and will typically fund technical advisory services and third party expenses. These include:- feasibility assessments and market studies, environmental reviews, financial modeling services, technical design, and legal services. The geographical focus of the Facility is sub-Saharan Africa, excluding South Africa and its sector focus is:- power, transportation, oil and gas infrastructure, agribusiness and social infrastructure.

At the launch ceremony in the Hague, Jurgen Rigterink, Chief Investment Officer, FMO, remarked ”the need for financing early stage risk in emerging markets can only be effectively addressed and fulfilled when institutions form strategic partnerships. FMO is delighted to partner with AFC, which is uniquely placed to manage the facility given its local presence in the region, its extensive track record and proven expertise in project development. FMO believes that this Facility will assist in bringing key infrastructure projects to market, thereby creating development impact and reinforcing AFC's and FMO’s role as leading private sector investors in Africa."

Commenting on AFC’s long term project development strategy, Andrew Alli, President & CEO, AFC said “AFC offers a unique value proposition by providing early stage risk capital and advisory services to fast track infrastructure projects under development. Financial institutions need to form strategic partnerships in order to manage the risks involved in long term project development financing. Discussions initiated in 2008 with FMO, one of the leading DFIs active in Africa, which is fully committed to the continent's economic development, have culminated in this shared Facility, with a pipeline of projects ready for execution immediately. We are glad to be working with an institution that has similar objectives and risk appetites to AFC. This collaboration demonstrates the ability to forge strategic partnerships to drive economic transformation in Africa”.

About AFC - www.africafc.org

AFC is an African-led international financial institution, established in 2007 whose mission is to improve African economies by proactively developing and financing infrastructure, industrial and financial assets. AFC is involved as an investor, developer and financier of various infrastructure projects, and is gaining recognition as the benchmark institution for financing the development of infrastructure projects in Africa. AFC is the lead investor in the award winning Cabeolica project, a USD90 million, 26MW landmark renewable energy wind power project in Cape Verde. AFC is the Technical Adviser to the Central Bank of Nigeria (CBN) on the CBN’s USD2.0 billion Power and Aviation Intervention Fund (PAIF). AFC is a partner with Vigeo Holdings Limited and Tata Power Delhi Distribution Limited for the acquisition of power distribution assets in the current Nigerian Government power sector privatisation round. AFC is also the lead investor in Cenpower Generation Company Limited (Cenpower), which is implementing the USD720 million Kpone IPP project – a 340 megawatt combined cycle gas turbine power plant in Tema, Ghana. AFC is the lead investor in the Main One fibre optic cable project, enhancing West Africa’s connection to Europe and the rest of the world through faster and more technologically advanced broadband capacity. AFC provided a USD50 million convertible debt investment in Athi River Mining (Kenya) Limited (ARM), the second largest cement operator in Kenya to support expansion initiatives across Eastern and Southern Africa including; development and construction of a lime plant in Tanzania and expansion of ARM’s cement capacity in Kenya. The transaction marked AFC’s first bilateral investment in Kenya. AFC provided financing for Ethiopian airlines fleet expansion in the acquisition of Africa’s first Boeing 777 airline. AFC also invested in the Bakwena toll road project in South Africa and the EURO 270 million Konan Bedie Toll bridge in Côte d’Ivoire, the landmark transport PPP project in Francophone Africa, underscoring its interest in investing in PPPs/PFIs in its focal sectors across the African continent.

About FMO

FMO (the Netherlands Development Finance Company) is the Dutch development bank. FMO supports sustainable private sector growth in developing and emerging markets by investing in ambitious entrepreneurs. FMO believes a strong private sector leads to economic and social development, empowering people to employ their skills and improve their quality of life. FMO focuses on three sectors that have high development impact: financial institutions, energy, and agribusiness, food & water. With an investment portfolio of EUR 6.2 billion, FMO is one of the largest European bilateral private sector development banks. www.fmo.nl

For more information, contact:

Paul Hartogsveld

Communications advisor (PR)
T: +31 70 314 99 28
M: +31 6 11 58 9127
E: p.hartogsveld@fmo.nl

FMO invests in better fuel distribution infrastructure in Ukraine

Tue, 29 Jan 2013 10:54:06 +0100

In December 2012, FMO closed a transaction with LLC “Okkoskhidinvest”. Okkoskhidinvest is a joint venture between PJSC “Concern Galnaftogaz” (“Galnaftogaz” or “GNG”), a major Ukrainian petrol station operator and ADM Capital (“ADM”), a Hong-Kong based fund management company. Both GNG and ADM are existing clients of FMO since 2011 and 2010 respectively. Main purpose of the financing is to develop a network of gas filling stations in the eastern part of Ukraine, where GNG currently has little presence. Total project costs were estimated to be around USD 165mln and IFC was asked to arrange the financing package of USD 80mln. FMO participated in an IFC-B loan with USD 27.5mln.

The gas filling stations will operate under GNG’s proprietary OKKO brand and will comply with up-to-date environmental and technical specifications. The format for OKKO stations is designed to maximize services offered to clients. In addition to selling petroleum products, gas filling stations also sell snacks, fast food, and other automotive-related services (car wash, car repair etc). The stations will be refurbished or built according EU standards, in which the underground fuel tanks have double steel hulls and leak detection devices. Consistently high quality products help to attract and retain loyal customers to OKKO stations because Ukraine does not yet have a strict minimum level for the quality of fuels (e.g. EURO-4 or above). Other distributors (the black market) often sell petroleum products of lower standards and lack proper quality controls. The number of GNG employees is expected to grow by 500-750 on the back of expansion.

Begemann Milieu Technology opens new large treatment facility in Thailand

Tue, 22 Jan 2013 14:33:04 +0100

FMO provided a €3.6 million loan to the Thai company Begemann Mercury Technology Pacific Co., Ltd.,a 100 % daughter company of the Dutch company BMT Begemann Milieutechniek B.V., located in Farmsum, The Netherlands. The loan is funded through our government-backed Facility Emerging Markets Fund (FOM). BMT purifies and recycles mercury-contaminated waste substances, hazardous by-products of the natural gas and chlorine industries.

FMO’s loan to BMT help finance a new mercury waste processing plant in Thailand that was opened on Friday 18 January 2013. Located near Bangkok, the plant will use BMT’s internationally-patented vacuum distillation method. It has the capacity to serve both Thai and neighboring markets, reducing international waste transports and thereby reducing the risk of accidents while transporting this dangerous material.

Potential environmental contamination by mercury is a fast-growing international problem. Such waste must be handled extremely carefully to minimize environmental and public health risks. From a yearlong knowledge and experience to proven technology, Begemann Milieu Technology has become a forefront Dutch company in mercury recovery, technology and management. The plant will be audited and certified at the highest levels for occupational health and safety, community relations and environmental impact. It will also certify its operations according to ISO 14001 and 9001 guidelines.

About BMT

BMT offers mercury recovery and management services to their customers not only in Europe but also in Asia Pacific regions. With a capacity of 1,900 tons per year, the facility accept various types of mercury contaminated materials including solid, liquid and semi-solid to its recovery process. BMT serves various groups of customers including international oil and gas companies, industry, hospital, government and community in managing mercury impacted materials and aspects. This is to ensure that all mercury impacted material and aspect will be managed safely, without long term health and environmental impacts and liabilities.

BMT does not only support their customers to meet their business objective but also government and community to be able to manage mercury material safely both in terms of health and environment. BMT’s core missions are ‘for better health and environment’ and ‘improve quality of life wherever we are’.

Advans Pakistan Microfinance Bank launches its operations in Karachi

Wed, 09 Jan 2013 17:39:10 +0100

Advans SA, the international venture capital company specialised in microfinance, is opening its first greenfield microfinance institution in Asia, in the Islamic Republic of Pakistan. Created in April 2012, Advans Pakistan MFB is 70% held by its founder shareholder Advans SA, and 30% by FMO, the Netherlands Development Finance Company.

As a registered microfinance bank, Advans Pakistan MFB offers a complete range of financial services to micro, small and medium-sized enterprises (MSMEs): loans to MSMEs from PKR 10,000 (about EUR 80) to PKR 150,000 (about EUR 1,200) and current and savings accounts for both individuals and MSMEs. Additional services such as cheque clearing and SMS mobile banking notifications should be launched within the next few months. Advans Pakistan MFB has started its operations in Karachi, Sindh, the country’s economic and financial capital and plans to extend its offer to other provinces over the coming years.

Interview with Yvonne Bakkum, Director FMO Investment Management, on private equity in Africa

Thu, 21 Feb 2013 14:26:19 +0100

At the recent SuperReturn Africa 2012 event in Casablanca, Yvonne Bakkum, Director of FMO Investment Management, gave her views on FMO's role in private equity in Africa and the benefits of a diversified fund-of-funds approach.

You can watch the interview here

FMO provides EUR 25 million loan to Lome Container Terminal, Togo

Fri, 28 Dec 2012 14:10:14 +0100

Lome Container Terminal (LCT) is a Greenfield container terminal within the Port of Lomé, Togo. Lomé has one of the few natural deep water ports in West and Central Africa and is well located to serve as a transshipment hub for West Africa.

The terminal will have an annual handling capacity of 1.5 million TEU and will enable shipping lines to deploy larger container vessels in West and Central Africa. The terminal will significantly lower regional transportation costs, encourage regional integration and create income and jobs to Togo.

The Mediterranean Shipping Company, the world’s second largest container shipping line, has committed to be the anchor customer for the terminal. Large mother vessels (up to 14,000 TEU) will berth at the terminal and will offload imports for the region. The containers will be stored and then onloaded on feeder vessels, typically around 1,000-2,000 TEU to service ports in the region. Exports from the region will be onloaded on the feeders and transshipped on the mother vessel in Lomé. Container transport in West Africa is expected to grow along with the projected GDP growth and the related increase in import and export volumes.

The total cost for the project is estimated at EUR 324 million and is the largest foreign direct investment by the private sector in Togo.

FMO invests EUR 25 million in Green for Growth Fund

Wed, 21 Nov 2012 12:44:48 +0100

· Investment increases Fund’s committed capital to EUR 191 million

· EE/RE loans financed by investment projected to reduce carbon footprint by 23,200 tons of CO2 annually by 2015

The Green for Growth Fund, Southeast Europe (GGF, the Fund) and Netherlands Development Finance Company (FMO) in The Hague, Netherlands, signed a EUR 25 million investment in the Fund’s A Share (EUR 20.6 million) and B Share (EUR 4.6 million) tranches. FMO’s investment will significantly leverage GGF’s public donor funding (the C Share tranche) to broaden the funding base for energy efficiency (EE) and renewable energy (RE) projects in the GGF’s target region, including providing crucial capital to support the Fund’s recent expansion into the European Neighborhood Region (ENR). In terms of maximizing development impact, the investment will enable GGF to finance more than one thousand additional EE and RE loans to households, micro, small and medium enterprises (MSMEs) and corporate borrowers reducing carbon emissions by an estimated 23,200 tons of CO2 annually by 2015. This equals the total emissions of 4,127 cars or energy consumption of 1,822 houses for one year.

To ensure the success of its financing, the GGF offers through its Technical Assistance Facility tailored solutions to meet the specific needs of its partner institutions in mainstreaming EE finance. In addition, the Fund rigorously monitors and reports energy savings and carbon emissions reductions. The Fund structures its expert knowledge in a way that is complementary to international EE/RE programmes and initiatives of international financial institutions.

FMO’s investment brings the Fund’s committed capital to EUR 191 million. Since its inception, the GGF has invested EUR 94 million in its partner institutions, financing EE/RE subloans with an aggregate value of EUR 68.9 million (as at 30 September 2012). The Fund estimates that these loans have resulted in a reduction of 56,000 tons of CO₂ and 234,600 MWh in electricity consumption annually throughout the target region over that period.

The GGF was created in 2009 by the KfW Entwicklungsbank (the German Development Bank)and the European Investment Bank (EIB) with financial support from the European Commission and the European Bank for Reconstruction and Development (EBRD). The privately managed fund is set up as a public-private partnership and registered in Luxembourg. Funding by public investors is complemented by private capital investments. The Fund’s structure builds on various investment classes with varying degrees of risk, enabling the cooperation of public donors, international financial institutions and socially oriented private investors.

“We are delighted that FMO has joined the GGF as a strategic partner, and this investment further broadens the Fund’s investor base,” said Christopher Knowles, Chairman of the Green for Growth Fund, Southeast Europe. “This investment will substantially increase the GGF’s outreach and development impact, and in the process help reduce energy consumption in the Fund’s target region.”

“FMO is proud to be an investor in the Green for Growth Fund”, said Nanno Kleiterp, CEO of FMO, “ this investment strongly contributes to the reduction of carbon emissions”.

ABOUT THE GREEN FOR GROWTH FUND, SOUTHEAST EUROPE (GGF)

Initiated in December 2009 by the KfW Entwicklungsbank (the German Development Bank) and the European Investment Bank (EIB) with the financial support of the European Commission and the European Bank for Reconstruction and Development (EBRD), the Green for Growth Fund, Southeast Europe (GGF) is dedicated to enhancing energy efficiency and fostering the use of renewable energy sources in Southeast Europe, including Albania, Bosnia and Herzegovina, Croatia, FYR Macedonia, Kosovo*, Montenegro, Serbia and Turkey as well as in the nearby European Neighborhood region comprised of Armenia, Azerbaijan, Georgia, Moldova and Ukraine. The GGF provides refinancing to financial institutions for on-lending to enterprises and private households for energy efficiency projects. The GGF also invests directly in specialist energy service companies (ESCOs) as well as energy service and supply companies, and renewable energy projects. The activities of the GGF are supported by a Technical Assistance Facility. The GGF is a public-private partnership with an investor base of donor agencies, international financial institutions and institutional private investors. The GGF is registered under Luxembourg law as a SICAV (variable capital investment company). The GGF is privately managed by Oppenheim Asset Management Services S.à r.l., Luxembourg, in concert with the fund advisor, Finance in Motion GmbH, Frankfurt/Main, Germany, and a technical advisor, MACS Management & Consulting Services GmbH, Frankfurt/Main, Germany. For additional information about the Green for Growth Fund, Southeast Europe, please visit: http://www.ggf.lu

* This designation is without prejudice to positions on status, and is in line with UNSC 1244 and the ICJ Opinion on the Kosovo Declaration of independence

ABOUT FMO

The Netherlands Development Finance Company (FMO) is the bilateral private sector development bank of the Netherlands. FMO invests in the private sector, which can serve as an engine of sustainable growth in developing markets. To this end, FMO provides capital, knowledge and partnerships to ambitious entrepreneurs. With an investment portfolio of EUR 6.2 billion, FMO is one of the largest bilateral private sector development banks worldwide. Our focus is on three sectors that create a high development impact: financial institutions, energy and agribusiness, food & water. This focus enables us to offer tailored finance solutions based on real expertise. In other sectors, FMO teams up with renowned partners to combine local networks, knowledge and experience. We believe that our approach will lead to lasting economic and social development, which will empower people to employ their skills and improve their quality of life.

MEDIA CONTACT - GGF

Christine Prütz

E: c.pruetz@finance-in-motion.com

T: +49 (0) 69 9778 7650-22

MEDIA CONTACT - FMO

Paul Hartogsveld

E: p.hartogsveld@fmo.nl

T: +31 (0) 70 314 99 28

FMO closes a transaction with Robin Pope Safaris

Tue, 22 Jan 2013 14:34:30 +0100

FMO has granted a loan out of the Fund Emerging Markets to Robin Pope Safaris, a part of the Molecaten group. The financing will be used by Robin Pope Safaris to expand local tourist activities in Malawi and Zambia, amongst others by building new lodges.

Robin Pope Safaris considers the management of lodges in rare ecosystems and in the proximity of indigenous people, as a privilege and an important responsibility. As a player in the African tourism sector, Robin Pope Safaris is leading in the field of ‘sustainable responsible’ tourism and has won the Virgin Holiday Responsible Tourism Award in 2011 as a recognition for their work with the local community and environment. The FMO financing will enable Robin Pope Safaris to expand its activities with development impact playing a key role

A new renewable energy finance concept featured in Environmental Finance magazine

Fri, 16 Nov 2012 12:16:14 +0100

Indonesia is mulling a novel approach to supporting renewable energy development that could replace donor and government funds with private investment. The annual investment required to achieve energy transition on a global scale is projected to be hundreds of billions of dollars each year. The challenge of meeting this demand has inspired the development of several innovative financial concepts in recent years.

A new renewable energy finance concept being developed by FMO, the Dutch Ministry of Economic Affairs, Agriculture and Innovation’s NL Agency, and the Indonesian government would forgo the use of aid funds and would instead seek to attract private sector investment using the prospect of increasing fossil fuel prices.

For the full article please click here

Publication in Environmental Finance magazine, the leading global publication covering the ever-increasing impact of environmental issues on the lending, insurance, investment and trading decision affecting industry.

http://www.environmental-finance.com/

USD 55.5 million syndicated facility for LOMC

Wed, 14 Nov 2012 16:44:05 +0100

LOMC, one of the largest microfinance institution in Sri Lanka , has secured USD 55.5 million in a syndicated facility, marking the biggest microfinance syndicated facility ever. LOMC is a Specialized Leasing Company (SLC) with a unique market positioning. It operates in both microleasing and microfinance sectors in Sri Lanka.

LOMC is the main provider of access to finance for micro, small and medium companies mainly in rural areas with important expansion even to post-war areas. This transaction will benefit private sector growth throughout Sri Lanka.

The Netherlands Development Finance Company FMO acted as Mandated Lead Arranger and arranged a syndicate providing USD 55.5 million in financing consisting of FMO (with USD 15 million), PROPARCO, the private sector investment arm of Agence Française de Développement (USD 10 million), Cordiant (USD 12.5 million), BIO (USD 8 million) and the OPEC Fund for International Development OFID (USD 10 million).

“FMO is proud to be the Mandated Lead Arranger for this project. All lenders are very pleased to support this important private investment in Sri Lanka. This facility will enable LOMC to continue to grow the private sector in Sri Lanka. With our co-lenders we are pleased to work with investors who are committed to stimulate entrepreneurs to develop and grow the Sri Lanka economy,” said Nanno Kleiterp, CEO of FMO.

“PROPARCO is pleased to support a dynamic player like LOMC which shares our concern with Client Protection Principles. Putting clients first is, and should stay, a primary concern all along the financial value chain: from the biggest financial institutions down to the fields of microfinance. This financing is the third transaction with LOLC Group and is strengthening a partnership that started 8 years ago. PROPARCO also sees this transaction as a good example of cooperation between DFIs and private partners and praises in particular FMO for its role as arranger”, said Claude Périou, CEO of PROPARCO.

About LOMC

LOMC is a microfinance company providing small leases (average USD 990) for three-wheelers and agricultural equipment, gold loans and group loans to women. LOMC’s mission is to deliver integrated financial services to rural Sri Lanka, to support employments creation and income generation and promote gender equality. LOMC serves its clients with three different product lines: leases, gold lending and group lending. This model is different than the traditional, more ridged South Asian microfinance institutions since it serves the market with three different product lines. The company has ambitious growth plans and can focus on different products and so diversifying its portfolio. The major part of the portfolio consists of leasing of three-wheelers (40%) and tractors/light trucks and agricultural equipment (35%). The remaining part is gold backed lending (14%), loans to women-groups (8%) and a small part for two-wheelers (3%).

About FMO

FMO (the Netherlands Development Finance Company) is the Dutch development bank. FMO supports sustainable private sector growth in developing and emerging markets by investing in ambitious entrepreneurs. FMO believes a strong private sector leads to economic and social development, empowering people to employ their skills and improve their quality of life. FMO focuses on three sectors that have high development impact: financial institutions, energy, and agribusiness, food & water. With an investment portfolio of EUR 6.2 billion, FMO is one of the largest European bilateral private sector development banks.

www.fmo.nl

About PROPARCO

PROPARCO is a Development Finance Institution jointly held by Agence Française de Développement (AFD) and public and private shareholders from the North and South. Its mission is to catalyze private investment in emerging and developing countries with the aim of supporting growth, sustainable development and the achievement of the Millennium Development Goals (MDGs). PROPARCO ﬁnances investments that are economically viable, socially equitable, environmentally sustainable and financially proﬁtable. PROPARCO is one of the main bilateral development finance institutions in the world. It invests on four continents encompassing the major emerging countries and the poorest countries, particularly in Africa, and has a high level of requirements in terms of social and environmental responsibility. www.proparco.fr

About BIO

BIO (the Belgian Investment Company for Developing Countries) supports financial institutions, investment funds, enterprises and private infrastructure projects. Endowed with capital of EUR 581.5 million, BIO provides tailored long-term financial products (equity, quasi-equity, debt and guarantees) either directly or through intermediary structures. BIO is able to fund technical assistance programmes for client companies as well as feasibility studies. BIO requires its business partners to implement environmental, social and governmental standards. BIO operates as an additional partner to the traditional financial institutions with a balance between return on investment and development impact.

www.bio-invest.be

About OFID

The OPEC Fund for International Development (OFID) is the development finance institution established by the Member States of OPEC in 1976 as a collective channel of aid to the developing countries. OFID works in cooperation with developing country partners and the international donor community to stimulate economic growth and alleviate poverty in all disadvantaged regions of the world. It does this by providing financing to build essential infrastructure, strengthen social services delivery and promote productivity, competitiveness and trade. OFID’s work is people-centered, focusing on projects that meet basic needs – such as food, energy, clean water and sanitation, healthcare and education – with the aim of encouraging self-reliance and inspiring hope for the future.

www.ofid.org

About CORDIANT

Founded in 1999, Cordiant is a pre-eminent manager of emerging market, private sector investments. With more than USD 2 billion in capital subscriptions across five emerging market debt and equity funds, Cordiant counts amongst its clients some of the world’s largest institutional investors. Cordiant has been successfully investing across the emerging markets for a decade. From these regions ripe with opportunity, Cordiant offers institutional investors efficiently managed and cost effective access to high quality, income-generating investments with superior risk/return profiles throughout Asia, Eastern Europe, Latin America and Africa.

www.cordiantcap.com

Clients of FOM (Fund for Dutch Enterprises) featured in Magazine for horticulture

Tue, 22 Jan 2013 14:34:54 +0100

The Dutch magazine for the horticulture sector Kas Magazine has started a monthly section about Dutch horticulture entrepreneurs with subsidiairies or joint ventures in emerging markets. In these interviews they share their experience with establishing a business in emerging markets. FMO has supported their plans with the Fund Emerging Markets - a joint initiative of the Dutch Ministry of Economic Affairs and FMO.

Fund Emerging Markets (FOM) celebrated 20th birthday

Thu, 14 Mar 2013 12:45:13 +0100

On 25 October FMO celebrated the 20th anniversary of the Fund Emerging Markets (FOM).

This Fund is managed by FMO and aims exclusively at financing investments of Dutch entrepreneurs in emerging and developing markets. To celebrate this joyous occasion, FMO organized the seminar “Worldwide entrepreneurship, welcome on board!” in the Cruise Terminal in Rotterdam. There, 250 distinguished guests discussed the critical factors of success for Dutch SME companies with subsidiaries in emerging markets. FMO wants to contribute to sustainable economic development in emerging markets by providing financing to entrepreneurs.

Steven Duyverman, FOM manager sounds the gong at the Amsterdam Exchange to open the market.

https://exchanges.nyx.com/nl/nyse-euronext-amsterdam/fonds-opkomende-markten-fom-viert-20e-verjaardag

Article on Sustainability Bonds in magazine The Treasurer

Tue, 23 Oct 2012 10:46:37 +0200

The October issue of the magazine The Treasurer, featured an article by Sheila Codamus-Platel on FMO's Sustainability Bonds. You can read the article here.

FMO ranks Best Employer in Dutch Financial sector

Mon, 29 Oct 2012 10:50:03 +0100

According to research company Effectory and VNU Media, FMO ranks first among its peers in the financial sector. This group consists of small and large (multinational) banks, insurance companies and financial consultants.

Overall FMO achieved the 8^th position in the category Companies with less than 1,000 employees. The ‘Best Employer Award 2012’ in this category went to Geas Energiewacht, which we congratulated whole heartedly.

the award

The Best Employer Award is granted by the research company Effectory for the 11^th time. A total of 269 organizations took part in the 2012 survey and more than 130.000 people responded. To get qualified, an average score of at least 7.5 was required. FMO scored an average of 8.1. This resulted in the initial nomination.

why did we rank so high?

At FMO people are committed to our mission and feel personally involved. This is what makes the difference. Academic research shows that companies that have a clear mission and stick to that, will last longer. That is exactly what we do at FMO.

During the presentation of the awards we were mentioned as a good example of how social responsibility in the financial sector can lead to higher employee satisfaction.

We are very proud of this achievement.

Beste Werkgevers Onderzoek 2012 - Effectory & VNU Vacature Media from Effectory

USD 70 million for EMF New Europe Insurance Fund

Tue, 09 Oct 2012 16:17:19 +0200

The EMF New Europe Insurance Fund, has had its first close, with total commitments of over USD 70 million. The EMF New Europe Insurance Fund will focus on investing in the insurance industry in CIS & non-EU European countries. The target countries include Albania, Armenia, Azerbaijan, Georgia, Belarus, Kosovo, Macedonia, Montenegro, Moldova, Serbia, Russia, Turkey and Ukraine.

The cornerstone investors of the fund are German insurance company Gothaer (USD 30 million), the Dutch development bank FMO, (USD 20 million) and the German development finance institution DEG (USD 20 million).

The fund intends to take majority stakes in both life and non-life insurance companies in the target countries.

“Economic growth in the fund’s target countries is above the global average, however the current economic situation has resulted in a scarcity of capital in the insurance sector as the international companies are not expanding and liquidity is therefore tight”, said Peter Lovas, CEO of EMF Capital Partners. He added: “The target countries have an insurance penetration which is below that of the EU member Eastern European countries and much lower than the more developed EU markets. The insurance sector in the target countries is projected to grow at a significantly faster pace than in the EU. The fund intends to create value in the portfolio companies by developing profitable product lines in an expanding market.”

In regions where insurance is still underdeveloped, such as in the target countries, households as well as businesses are frequently unable to obtain adequate insurance cover and are consequently exposed to serious financial loss. DEG and FMO (two of Europe’s biggest development finance institutions) are very pleased to provide their commitment to the fund and are confident that their support will draw in further institutional capital, promote enhanced standards and assist the accelerated development of the insurance sector in the region.

The fund sponsor is EMF Capital Partners and the fund administrator is the Aztec Group.

EMF Capital Partners was advised by Erna Moerdijk of Bureau Moerdijk (Amsterdam) and Mark Baldwin of Macfarlanes (London).

About EMF Capital Partners

Launched in 2012, EMF Capital Partners is a private equity firm dedicated exclusively to financial institutions in the emerging markets.

The firm has representation in London, Moscow and Warsaw (with Istanbul following shortly).

www.emfcp.com

About Gothaer

With over 3.5 million members and premium income of 4 billion Euro, the Gothaer Group ranks among Germany’s major insurance groups and is one of the country’s largest mutual insurance associations. Gothaer’s customers are for the most part private individuals and medium-sized companies. Gothaer offers a wide variety of insurance products, not only in the personal area, but also for small and medium-sized companies, the self-employed and freelancers.

www.gothaer.de

About FMO

FMO (the Netherlands Development Finance Company) is the Dutch development bank. FMO supports sustainable private sector growth in developing and emerging markets by investing in ambitious entrepreneurs. FMO believes a strong private sector leads to economic and social development, empowering people to employ their skills and improve their quality of life. FMO focuses on three sectors that have high development impact: financial institutions, energy, and agribusiness, food & water. With an investment portfolio of EUR 5.9 billion, FMO is one of the largest European bilateral private sector development banks.

www.fmo.nl

About DEG

DEG (DEG - Deutsche Investitions und Entwicklungsgesellschaft mbH) is the German development finance institution andone of the largest European development finance institutions. DEG is a member of KfW Bankengruppe. For 50 years, DEG has been financing and structuring the investments of private companies in developing and emerging market countries. DEG’s aim is to establish and expand private enterprise structures in developing and emerging countries, and thus create the basis for sustainable economic growth and a lasting improvement in the living conditions of the local population.

www.deginvest.de

FMO featured in Dutch business magazine Management Scope

Wed, 30 Jan 2013 13:51:31 +0100

Dutch Business Magazine published a special on Nigeria. FMO'er Jorim Schraven, Manager Financial Institutions Africa, contributed with an article about sustainable banking initiatives in Nigeria. article Jorim Schraven

The special also included an interview with FMO'er Stella Chuku, Development Effectiveness Analyst, about working at FMO. interview Stella Chuku

To read the whole special please click managementscope-special-nigeria in english

FMO founding father of Greenport Holland International

Thu, 04 Oct 2012 10:57:06 +0200

As of 1 October 2012, FMO has become a Founding Father of the Greenport Holland International (GHI) foundation. GHI is an independent organisation, set up by Greenport Holland and the Dutch horticultural industry with the mission to enhance the quality of international horticulture through successful international horticultural projects. The Dutch horticulture sector is regarded worldwide as an industry leader that sets the standards others follow. However future growth in the horticulture sector will take place in a fragmented fashion on different continents. In order to be able to benefit from these international opportunities, companies working in all areas of Dutch horticulture decided to join forces by setting up GHI in the spring of 2011.

In a world where the population continues to grow, where food supply, water, health, sustainability and the environment are highly contemporary topics, innovative horticultural projects have a major role to play and the Dutch horticulture industry is ideally placed to react to the challenges of the future. The sector possesses the know-how required to improve quality in the many production areas in the world and as The Netherlands horticultural sector is a leading force in sustainability, this knowledge will also be made available for new production areas and projects.

Through the Facility Emerging Markets, FMO is already cooperating with a number of Founding Fathers and by joining this initiative FMO can further contribute to the worldwide expansion of the Dutch horticultural sector.

Central Bank of Nigeria implements Sustainable Banking Principles

Wed, 03 Oct 2012 08:47:54 +0200

On Wednesday, September 26, 2012, the Central Bank of Nigeria officially released on its website a circular to all Banks, Discount houses and Development Finance Institutions in Nigeria to commence implementation of the Nigeria Sustainable Banking Principles.

Over the last 12 months, FMO (together with IFC) as technical advisors have been working with the Nigeria banking community to develop guiding principles and sector guidelines (Power, Oil and Gas and Agriculture) that will enable the financial sector address Environmental & Social issues in their lending and investment decisions. The documents were formally presented to and approved by the Bankers Committee (comprising of all banks CEOs and the Central bank Governor) in July.

The Central Bank of Nigeria now requires all banks to establish internal Environmental & Social frameworks to identify, assess and mitigate Environmental & Social risks in their lending activities in the coming 12-18 months. The Central Bank has also formally directed that all banks establish sustainability desks that will actively execute the implementation process.

While FMO recognizes that it has been a challenging assignment for the banking community to define its sustainability pathway in an ever increasing competitive environment, the experience has been rewarding as the banks now acknowledge they have an approach that is truly theirs, owned and driven by them. FMO is also proud of the role it has played as a sparring partner supporting the industry’s efforts in this area through its capacity development programme.

Click here to see the full circular and principles.

Picturing Microfinance - exhibition made possible by CGAP, FMO and NPM

Thu, 06 Sep 2012 19:34:17 +0200

From 10 to 14 September 2012 the Atrium of the Town Hall of The Hague will host the exhibition 'Picturing Microfinance', a showcase of people engaged in microfinance throughout the world. This exhibition offers a collection of winning photos from the annual Microfinance Photography Contest of CGAP, the Consultative Group to Assist the Poor.

Since 2006, this annual contest has been a beacon to photographers and microfinance stakeholders, with thousands of entries, representing many developing countries. It was both professional and amateur photographers that took these pictures that show remarkable stories of microfinance and financial inclusion from around the world.

Microfinance and inclusive finance offer poor people access to basic financial services such as loans, savings, money transfer services, and micro insurance. People living in poverty, like everyone else, need a diverse range of financial services to run their businesses, build assets, smooth consumption, and manage risks.

The contest has produced stunning images. A selection of pictures can be found online on Upsides and on the CGAP Photo Contest website. CGAP is now accepting entries for 2012.

This exhibition has been made possible by CGAP - independent policy and research center dedicated to advancing financial access for the world's poor , FMO and NPM - the Netherlands Platform for Microfinance.

FMO issues EUR 40 million 5-year Sustainability Bonds

Thu, 06 Sep 2012 16:29:39 +0200

Today, FMO issued Eur 40 million 5-year FMO Sustainability Bonds. The lead order for this transaction was from Triodos Bank. Rabobank is the sole lead arranger.

FMO invests with the motive that ESG – sustainable environmental, social and governance business practices – are the solution in a world facing a surging population and increased consumption. FMO applies the International Finance Corporation (IFC) Performance Standards as a benchmark on social and environmental subjects to our financing activities to ensure the implementation of sustainable business practices. Amongst others, FMO is a signatory to the Equator Principles, United Nations Principles for Responsible Investment (UNPRI), a member of the Global Impact Investing Network (GIIN) and the UN Environment Program Finance Initiative (UNEP FI).

“Triodos Bank’s core activity is financing SME companies working on positive social, environmental and cultural change. As every bank we also have to maintain a portfolio of liquid investments. We take sustainable conditions into consideration when investing our liquidities. Up to now the possibilities of sustainable large scale liquidity investments have been limited however. The FMO sustainability bonds program is therefore a great step forward in this. The bond program is showing that it is possible to allocate funds and set conditions on sustainability when attracting large scale (general) funding from the market. We share many values and goals with FMO. We therefore look forward to a long term cooperation in this program. A program which hopefully will work as example for more (public) organizations” said Jan Pieter Postma, Head Finance & Control, Triodos Bank Nederland.

“We are grateful for the continued investor interest in the Sustainability Bonds issued by FMO, and for the decision of Triodos to support FMO’s mission of working towards the sustainable economic development of the private sector in Africa, Asia, Eastern Europe and Latin America,” said Sheila Codamus-Platel, Treasury Officer, FMO.

Summary Terms:

Issuer: Nederlandse Financierings-Maatschappij voor Ontwikkelingslanden N.V. (FMO)

Amount: EUR 40,000,000.00

Issue date: 6 September 2012
Maturity date: 6 September 2017
Issue price: 100% of the Principal Amount (EUR 40,000,000.00)

Maturity price: 100.00 % of the Principal Amount
Denomination: EUR 100,000
Dealer: Rabobank International

About Triodos
Triodos Bank is a European bank with a network of offices in five European countries: the Netherlands (Zeist), Belgium (Brussels), the United Kingdom (Bristol), Spain (Madrid) and Germany (Frankfurt). The head office is in The Netherlands.

Triodos Bank is one of the world's leading sustainable banks, offering a wide range of integrated lending and investment opportunities for sustainable sectors in a number of European countries. Its mission is to make money work for positive social, environmental and cultural change.

Find out more about Triodos on their website: http://www.triodos.com/en/about-triodos-bank/

About Rabobank
Rabobank Group, established in 1898, is a Dutch based cooperative financial services provider. Sustained autonomous growth is a leading factor in the strategic course that Rabobank Group aims to steer in the coming years. This strategy centres around its core competence: Food & Agribusiness.

Based on Rabobank’s cooperative beliefs and strategic ambition, four core values have been formulated. These are respect, integrity, professionalism and sustainability. It is important to Rabobank that clients can recognise their bank in these core values. They form the foundations of the group-wide code of conduct and the basis for the actions of Rabobank’s employees. In addition, Rabobank Group subscribes to a range of internal and external codes on general service provision principles, including guidelines issued by the United Nations, the OECD, the International Chamber of Commerce and the International Labour Organisation.

Reference to Rabobank’s sustainability ratings are on http://www.rabobank.com/content/investor_relations/ratings/sustainability_ratings.jsp

About FMO

FMO (the Netherlands Development Finance Company) is the Dutch development bank. FMO supports sustainable private sector growth in developing and emerging markets by investing in ambitious entrepreneurs. FMO believes a strong private sector leads to economic and social development, empowering people to employ their skills and improve their quality of life. FMO focuses on three sectors that have high development impact: financial institutions, energy, and agribusiness, food & water. With an investment portfolio of EUR 6.2 billion, FMO is one of the largest European bilateral private sector development banks. www.fmo.nl

For more information, see: http://www.fmo.nl/investorrelations

FMO finances Malaysian subsidiary of Scherpenzeel Group

Wed, 29 Aug 2012 14:54:42 +0200

FOM’s first financing in Malaysia

On August 10^th 2012, FMO signed a contract with Core Teq Sdn Bhd, (“Core Teq”) with respect to the financing of state-of-the-art equipment for the operations in Johor Malaysia. Core Teq is part of the Scherpenzeel Group (“Scherpenzeel”).The investment is funded through FMO’s Dutch government-backed Facility Emerging Markets (FOM – Faciliteit Opkomende Markten).

Since the founding in 1960, Scherpenzeel has evolved into a leading producer and developer of high precision shafts, rollers and roller-assemblies. Besides the production for the European and US-markets the company is specialized in R&D, design and innovation.

In January 2012, Core Teq moved into a new plant. This new location covers over 5.500m2 and is well designed for growth. In the plant, many efficiency measures have been taken in order to optimize the processes. This innovation of production processes deepens the aspect of quality. The purchase of high-tech machines such as a laser welding machine and various robot-operated equipment are an essential part of the operations. At present 50 fte’s are working in Malaysia; with the expansion another 12 jobs will be created.

FMO shows solid semi-annual results

Fri, 24 Aug 2012 16:53:24 +0200

New investments HY2012: total EUR 576 million

Profit in first half of 2012: EUR 42 million

FMO, one of the largest bilateral private sector development banks worldwide, made new investments of EUR 576 million in the first half of 2012, an increase of 68% compared to HY2011.

In HY2012, FMO provided financing totaling EUR 576 million to businesses in developing countries helping the private sector create jobs, and strengthen sectors essential for sustainable grwoth in developing countries, such as the energy, financial and agricultural sectors.

Mainly due to value adjustments, the net profit decreased to EUR 42 million (HY2011: 69 million). On the other hand, interest income increased further.

Sustainability is intrinsic to FMO's business. Therefore we select projects that positively affect economic, social, environmental development and good governance. FMO recently received a high sustainability rating by Sustainalytics (a highly respected rating agency).

Nanno Kleiterp, FMO's CEO, said: "We are satisfied with the results of the first half of 2012, which have proved once again that the investment opportunities in developing countries are good. Despite the high uncertainty and volatility in the financial markets, we see a continuous growth in emerging markets and developing countries.

For the second half of 2012, our outlook is neutral. The consequences of the Eurozone debt crisis, the stagnating recovery of the US economy and lower growth prospects in China will reach the emerging and developing markets. Although the extent of these factors is difficult to predict, we keep monitoring these developments closely.

As a result of strict capital requirements we see that larger Western financial institutions are focusing on their core markets and are less inclined to invest in developing countries. This will increase demand for finance provided by FMO and emphasizes the importance of FMO's presence in emerging markets. Our current investment portfolio, healthy pipeline and solid capital position enable us to continue in our mission and create development impact in the future."

About FMO

FMO (the Netherlands Development Finance Company) is the Dutch development bank. FMO supports sustainable private sector growth in developing and emerging markets by investing in ambitious entrepreneurs. FMO believes a strong private sector lead to economic and social development, empowering people to use their skills and improve their quality of life. FMO focuses on three sectors that have high development impact: financial institutions, energy and agribusiness, food & water. With an investment portfolio of EUR 6.2 billion, FMO is one of the largest European bilateral private sector development banks. www.fmo.nl

Press contact:

Paul Hartogsveld

Communications Officer (PR)

T:+31 70 3149924

M:+31 6 39447288

E: p.hartogsveld@fmo.nl

FMO invests in Koppert

Fri, 24 Aug 2012 17:01:51 +0200

FOM has granted a loan of EUR 3.1 million to the Dutch company Koppert BV for the acquisition of the Brazilian company Itaforte.

Koppert is the international market leader in the field of biological crop protection and natural pollination. Koppert has a reputation internationally for reliability, innovation and quality. Koppert's headquarter is located in Berkel en Rodenrijs. Koppert has different motives and strategic interests to invest in the emerging market Brazil and especially in Itaforte. There are good opportunities for their current products in the large Brazil market.Itaforte is one of the leading companies in microbiological products in Brazil.

Besides registration, Itaforte has established its own market and production. With the state of the art knowledge of Koppert of producing and selling microbiological products, it will be able to improve the production and sales significantly.

In the next few years Koppert wants to invest further in other promising (emerging) markets.

FMO and Fairview introduce fund of funds for Africa

Fri, 24 Aug 2012 17:09:52 +0200

New FMO Fairview Africa Fund will provide institutional investors with new opportunities to invest in high growth markets in Africa

Dutch development bank, FMO, in partnership with U.S. fund-of-funds manager Fairview Capital Partners, introduces a fund-of-funds for Africa. This new fund provides institutional investors with access to attractive and diversified private equity exposure in the high growth markets of Africa. It builds on the track record and more than 15 years experience of FMO in making private equity investments in Africa and the proven capacity of Fairview in offering innovative fund-of-fund solutions to institutional clients. The fund will apply an active hands-on investment approach with best practice environmental, social and governance (ESG) standards and criteria.

The Netherlands Development Finance Company (hereinafter “FMO”) and Fairview Capital Partners (“Fairview”) have reached agreement to establish a Fund, which will be managed by FMO and Fairview, to invest in promising private equity funds in Africa. The Fund will selectively make co-investments alongside its investee funds. This new fund-of-funds will have a target size of USD 200 million, with a first close target of USD 100 million (of which 50% has already been committed by FMO). Africa offers an attractive private equity environment, with a growing middle class seeking better quality products and infrastructure, which provides ample investment opportunities. In addition, relatively unexplored markets and limited competition lead to proprietary transactions and attractive valuations; high growth and minimal leverage of companies mitigate higher ‘perceived’ risk; and the legal environment and political stability have improved considerably. Professional fund managers with track records exist and, as the African opportunity is increasingly recognized and pursued by investors, additional funds with talented managers are being established.

A long term view, sharp manager selection skills and a value-add investment approach remain crucial, for which an experienced investment advisor is indispensable. Yvonne Bakkum, Director Private Equity at FMO, comments: “Based on our longstanding and positive experience in Africa, we are very excited about the prospect of bringing qualified institutional investors along. Indeed, catalyzing commercial investors is one of FMO’s core strategic objectives. Apart from FMO’s own commitment, we believe this fund will hold significant appeal to U.S., European, and African institutional investors. This is truly ground breaking as many African countries recently broadened pension regulations allowing pension funds to invest (more) in alternative investments in and outside their own countries. The entry of local investors will further boost the vibrant private equity sector in the region, ultimately enabling more ambitious entrepreneurs to finance sustainable growth of their companies”.

About FMO
FMO (the Netherlands Development Finance Company) is the Dutch development bank. FMO supports sustainable private sector growth in developing and emerging markets by investing in ambitious entrepreneurs. FMO believes a strong private sector leads to economic and social development, empowering people to use their skills and improve their quality of life. FMO focuses on three sectors that have high development impact: financial institutions, energy, and agribusiness, food & water. With an investment portfolio of EUR 6.2 billion, FMO is one of the largest European bilateral private sector development banks.

Press contact:Paul Hartogsveld

Communications Officer (PR)
T +31 70 314 9924
M +31 6 39447288
E p.hartogsveld@fmo.nl

About Fairview Capital Partners
Fairview Capital Partners is a US-based private equity fund-of-funds manager established in 1994 and manages 18 funds-of-funds with an aggregate capitalization of $3.3 billion. Fairview’s clients include public and corporate pension plans, endowments and other institutional investors. Fairview has a highly skilled investment and finance team that has experience investing in established private equity partnerships as well as in younger partnerships, many of which were newly formed at the time of the firm’s initial investment, and several of which have grown to become leaders in their area of focus. Fairview has also built a robust finance and accounting infrastructure for institutional quality monitoring and reporting.

FMO supports the launch of Leopard Haiti Fund

Mon, 23 Jul 2012 14:09:10 +0200

On July 12, 2012, the first closing of the Leopard Haiti Fund (“LHF”) took place, with FMO taking a role as anchor investor by investing USD 8.5 million. LHF is the world’s first private equity fund to operate and focus exclusively on Haiti since the 2010 earthquake. As an anchor investor in LHF, FMO will play a vital role in the reconstruction of low-income and earthquake-hit Haiti, by providing highly needed risk capital through a SME-fund with a high-quality, locally based investment team.

The fund seeks to raise USD 40 to 75 million to invest in businesses in Haiti. The first USD 20 million of this target has now been committed by three international development banks:

• $8.5 million by International Finance Corporation (IFC);

• $8.5 million by Netherlands Development Finance Company (FMO), through MASSIF, a dedicated fund for SME development;

• $3.0 million from the Multilateral Investment Fund (MIF), a subsidiary of the Inter-American Development Bank (IADB).

The fund is managed by Leopard Capital, a fund management group exclusively focusing on post-conflict countries (or post-natural-disaster in the case of Haiti). They will now commence LHF’s investment activities while continuing to approach investors globally and locally to increase the size of the fund. Leopard Capital is concurrently raising a donor-funded technical assistance facility to finance capacity development initiatives within LHF’s portfolio companies.

LHF aims to gain long-term capital appreciation through investing in a diversified portfolio of private enterprises in Haiti. The Fund seeks commercial investments with the potential to provide positive economic and social impact.

The Fund will invest risk capital (through equity or quasi-equity instruments) into four priority sectors: 1) Food Processing, 2) Tourism, 3) Affordable Housing and 4) Renewable Energy. It may also selectively invest in other sectors. The majority of the Fund’s investments will focus on expanding existing businesses, including recapitalizing and rebuilding businesses damaged in the 2010 Earthquake. Some of the Fund’s investments will be in small and medium enterprises (SMEs) and/or start-up ventures.

In addition to financing LHF will provide its portfolio companies with operational support to professionalize their businesses by strengthening management capacity, worker skills, financial reporting, corporate governance, and social responsibility policies.

To manage the Fund, Leopard Capital has established an investment team comprised of Haitians, expatriate residents, and returning members of the Haitian Diaspora who have acquired skills abroad. The team combines experience in Private Equity, Investment Banking, Operations, Regulatory Compliance and Law. The team will be based in Port-au-Prince. The local investment team will be backed by Leopard Capital’s global team which has successfully invested in other frontier economies such as Cambodia and Laos.

Douglas Clayton, Leopard Capital’s CEO, commented: “We are pleased to launch Haiti’s first investment fund with the strong backing of three leading development banks. As investors we see attractive opportunities in helping Haitian businesses grow, while strengthening the country’s economic future. Leopard Haiti Fund’s success can show the world that Haiti is open for business.”

Jurgen Rigterink, FMO’s Chief Investment Officer commented: “After bringing energy to Haiti through the E-Power project, FMO will now bring growth capital to Haiti’s SMEs in order to increase economic activity, while adhering to the highest environmental and social standards. The resulting job creation will empower the Haitians to take their destiny in their own hands.”

FMO invests in Latin Renewables Infrastructure Fund

Mon, 23 Jul 2012 14:27:21 +0200

The Latin Renewables Infrastructure Fund will invest in utility-scale, renewable resource power generation - principally wind and hydro power - in Latin America, with an immediate focus on Central America. Market conditions for renewable energy in Latin America are highly favorable with assets being price competitive with fossil-fuel based generation (e.g., oil, gas, coal) with little to no subsidies required. The target size of the fund is $150 - $200 million.

The Fund is the first offering by REAL. REAL is led by four partners who have delivered highly successful results over many years of investing in the Latin American power sector with firms including; Conduit Capital Partners and Globeleq, as well as elsewhere in the emerging markets with Emerging Markets Partnership and Wolfensohn and Company. The Fund will take equity stakes in generation assets of various stages of development to create a portfolio of investments which are expected to provide superior risk-adjusted returns. Typically, renewable power investments in the fund’s target markets have very low operational risk, long term, fixed-price and dollar-indexed power sales contracts, and solid credit structures. In addition to the important global and local environmental benefits resulting from the Fund’s investments, the Fund’s projects will also provide important social and economic benefits to local communities.

The Fund was able to achieve a strong first closing with active support from its anchor investors: the German development finance institution Deutsche Investitions- und Entwicklungsgesellschaft mbH (DEG); the Netherlands Development Finance Company (FMO); the International Finance Corporation (IFC); and Obviam, the Investment Manager for the Swiss Investment Fund for Emerging Markets (SIFEM). The participation of these influential institutions as investors will further enhance the fund’s stature within its target markets.

USD 330 million in loans for Takoradi2 project

Mon, 16 Jul 2012 16:22:12 +0200

Takoradi International Company Limited (TICO), the owner of the Takoradi2 power plant, has secured USD 330 million in project financing for the 110MW expansion of the gas-fired power plant in Ghana. Takoradi2 is a joint venture between Abu Dhabi National Energy Company PJSC (TAQA) (90%) and VRA (10%), the main generator and supplier of electricity in Ghana. TAQA is the operator of the facility through its wholly owned subsidiary TAQA Generation International Operating Company LLC.

The Takoradi2 power plant is located near the town of Aboadze, just east of Takoradi in Western Ghana. The project comprises the expansion of Takoradi2, operational since September 2000 as a 220MW simple cycle power plant, with a 110MW turbine powered by steam heated by the exhaust heat of the Takoradi2 gas turbines. The expansion will result in a 330MW combined cycle thermal plant. The conversion to tri-fuel (gas, Light Crude Oil and diesel for start-up) has been finalized. Takoradi2 currently represents 15% of Ghana’s installed power production capacity. The project will provide additional electrical energy without needing any additional fuel/gas. The expansion is expected to be commissioned in 2015.

The Netherlands Development Finance Company FMO acted as Mandated Lead Arranger and arranged a syndicate providing USD 212mn in debt financing consisting of FMO (with USD 80 million, which includes funding from the Interact Climate Change Facility), PROPARCO, the private sector investment arm of Agence Française de Développement (USD 40 million), ICF Debt Pool (USD 30 million), DEG - Deutsche Investitions- und Entwicklungsgesellschaft mbH (USD 24.9 million), Emerging Africa Infrastructure Fund, and another development bank (USD 22.2 million). The remainder of the financing is provided by IFC and the OPEC Fund for International Development.

“FMO is proud to be the Mandated Lead Arranger for this project. All lenders are very pleased to support this important private investment in Ghana. This project will contribute to a more efficient and cleaner energy matrix. With our co-lenders we are pleased to work with investors who are committed to providing the Ghanaian people with affordable energy,” said Nanno Kleiterp, CEO of FMO.

About FMO

FMO (the Netherlands Development Finance Company) is the Dutch development bank. FMO supports sustainable private sector growth in developing and emerging markets by investing in ambitious entrepreneurs. FMO believes a strong private sector leads to economic and social development, empowering people to employ their skills and improve their quality of life. FMO focuses on three sectors that have high development impact: financial institutions, energy, and agribusiness, food & water. With an investment portfolio of EUR 5.9 billion, FMO is one of the largest European bilateral private sector development banks.

www.fmo.nl

Press contact:

Paul Hartogsveld, Communications Officer (PR)

T: +31 70 314 9924

E: p.hartogsveld@fmo.nl

About TAQA

Established in 2005, TAQA is a diversified international energy group headquartered in Abu Dhabi, the capital of the United Arab Emirates, and listed on the Abu Dhabi Securities Exchange (ADX: TAQA). TAQA is one the largest independent power producers in the world. TAQA’s business is made up of three operating divisions spread across the entire energy value chain: power generation & water desalination; oil and gas exploration & production; and emerging & alternative energy technologies. TAQA’s vision is to deliver ‘Energy for Growth’: growth within the business; social and economic progress in the communities where TAQA operates; and increased value for our shareholders. For more information about TAQA visit: www.taqaglobal.com

About PROPARCO
PROPARCO is a Development Finance Institution jointly held by Agence Française de Développement (AFD) and public and private shareholders from the North and South. Its mission is to catalyze private investment in emerging and developing countries with the aim of supporting growth, sustainable development and the achievement of the Millennium Development Goals (MDGs). PROPARCO ﬁnances investments that are economically viable, socially equitable, environmentally sustainable and financially proﬁtable. PROPARCO is one of the main bilateral development finance institutions in the world. It invests on four continents encompassing the major emerging countries and the poorest countries, particularly in Africa, and has a high level of requirements in terms of social and environmental responsibility. www.proparco.fr

About ICF Debt Pool

The Infrastructure Crisis Facility Debt Pool, governed by an independent Board and managed by Cordiant Capital Inc., provides direct loan financing to qualified infrastructure projects in emerging economies. The Fund is available to all infrastructure projects originated by International Finance Institutions that cannot obtain commercial financing or re-finance existing loans as a consequence of the global financial crisis and the tightening of bank lending. The ICF Debt Pool was conceived by the International Finance Corporation and developed on the Private Infrastructure Development Group platform (www.PIDG.org). Its €500 million capital is provided by KfW, the German development bank, on behalf of the Federal Republic of Germany.

About DEG

DEG, a subsidiary of German KfW, is one of the largest European development finance institutions with a current portfolio of EUR 5.6 billion. For 50 years, DEG has been financing and structuring sustainable investments of private companies in developing and emerging market countries, therefore providing long-term capital and advice. Its aim is to establish and expand private enterprise structures in developing countries, and thus create the basis for sustainable economic growth and a lasting improvement in the living conditions of the local population.

www.deginvest.de

About Emerging Africa Infrastructure Fund

The Emerging Africa Infrastructure Fund ("EAIF") was established in January 2002 and is currently a US$755 million debt fund. EAIF is a Public Private Partnership able to provide long-term USD or EUR denominated debt or mezzanine finance on commercial terms to finance the construction and development of private infrastructure in 47 countries across sub-Saharan Africa. Sectors include telecoms, transport, water and power. While EAIF lends on commercial terms, it aims to support projects that promote economic growth and reduce poverty, benefit broad-based population groups, address issues of equity and participation, and promote social, economic and cultural rights. EAIF is managed by Frontier Markets Fund Managers, a division of Standard Bank Plc. For more information visit the EAIF website www.emergingafricafund.com

About Interact Climate Change Facility

INTERACT CLIMATE CHANGE FACILITY S.A. is a private limited liability company established under the laws of the Grand Duchy of Luxembourg, and is owned by 13 shareholders. ICCF finances renewable energy and energy efficiency projects in the private sector in developing countries and emerging markets.

The funding capacity of ICCF is provided by Agence Française de Développement, the European Investment Bank (EIB) and by the following 11 EDFI members: BIO (Belgium), CDC (United Kingdom), COFIDES (Spain), DEG (Germany), FINNFUND (Finland), FMO (the Netherlands), NORFUND (Norway), OeEB (Austria), PROPARCO (France), Sifem (Switzerland) and SWEDFUND (Sweden).

Interview with Nanno Kleiterp in newsmagazine Jeune Afrique

Wed, 18 Jul 2012 08:56:57 +0200

FMO' s CEO Nanno Kleiterp has been interviewed by weekly newsmagazine Jeane Afrique.
In the interview he explains our role as a development bank and his view on Africa.
You can read the full interview on the website of Jeune Afrique (French only).

Managing your currency risk

Fri, 13 Jul 2012 10:47:46 +0200

Borrowing in foreign currencies may seem attractive to clients, but it’s an option that’s not entirely free from risk. If you earn your income in local currency you should borrow in your local currency.

Why run the risk?

If a company’s revenue is in its local currency and that currency should devalue, or if a foreign currency strengthens, foreign currency borrowing obligations will increase. This will potentially threaten the company’s continuity. As FMO, we can provide local currency financing that can reduce your risk of losses from such currency mismatches.

Local currency financing is a way of converting one form of risk into a possibly more acceptable form: specifically, exposing you to a fixed foreign exchange rate rather than to currency fluctuations.

To learn more about our Local Currency Financing Product, please click here for our leaflet about Managing Your Currency Risk.

For more information you can also contact your FMO investment officer.

FMO issues USD 41.3 million 6-year Sustainability Bonds

Thu, 12 Jul 2012 15:23:46 +0200

Today, FMO issued USD 41.3 million 6-year FMO Sustainability Bonds. The lead order for this transaction was from KLM Royal Dutch Airlines. Rabobank is the sole lead arranger for this transaction.

FMO invests with the motive that ESG – sustainable environmental, social and governance business practices – are the solution in a world facing a surging population and increased consumption. As an Equator bank, FMO applies the International Finance Corporation (IFC) Performance Standards on social and environmental sustainability to its financing activities to ensure the implementation of sustainable business practices. FMO is also a signatory to the United Nations Principles for Responsible Investment (UNPRI), a member of the Global Impact Investing Network (GIIN) and the UN Environment Programme Finance Initiative (UNEP FI).

“KLM is pleased to participate in the sustainable bond issued by FMO. This combines our financial strategy to further reduce our USD currency risk and our strategy to be leading in the industry regarding sustainability” said Vijay Panday, Director Treasury & Risk Management, KLM.

“We are grateful for KLM’s interest in the sustainability bonds issued by FMO. This is a further testament to FMO as an investment in sustainability, after having been given the top ranking out of all 24 peer financial institutions rated by Sustainalytics worldwide in respect of environmental, social, and governance (ESG) performance,” said Sheila Codamus-Platel, Treasury Officer, FMO.

Summary Terms:

Issuer: Nederlandse Financierings-Maatschappij voor Ontwikkelingslanden N.V. (FMO)

Amount: USD 41,300,000.00

Issue date: 12 July 2012
Maturity date: 29 March 2018
Issue price: 91.7094% of the Principal Amount (USD 37,876,000.00)

Maturity price: 100.00 % of the Principal Amount
Denomination: USD 140,000
Dealer: Rabobank International

About KLM

KLM Royal Dutch Airlines was founded on 7 October, 1919 to serve the Netherlands and its colonies. KLM is today the oldest airline still operating under its original name. KLM has been part of the AIR FRANCE KLMgroup since the merger in 2004. KLM is the core of the KLM Group, which further includes the wholly-owned subsidiaries KLM Cityhopper, transavia.com and Martinair.

Since the Group was founded in 2004, Air France-KLM has joined all the extra-financial stock market indexes and occupies the sector leadership position in the Dow Jones Sustainability Index, DJSI World and STOXX indexes, and also in the Aspi Eurozone, Ethibel Sustainabilty Index (ESI) Europe and FTSE4Good Index Series.

In 2009 oekom research classified Air France-KLM as “Prime”. This means Air France-KLM is according to the oekom Corporate Rating among the leaders within its industry and meets the industry-specific minimum requirements.

The Carbon Disclosure Project (CDP) is a survey that polls leading corporations about the inclusion of climate change issues in their corporate strategy, their approach to carbon constraints as well as their greenhouse gas emissions performance. Air France-KLM joined the CDLI index in 2009, is the top-ranking enterprise in the transport sector and ranks 14th in the CDLI scale in France, with a rating of 68.

About Rabobank

Rabobank Group, established in 1898, is a Dutch based cooperative financial services provider. Sustained autonomous growth is a leading factor in the strategic course that Rabobank Group aims to steer in the coming years. This strategy centres around its core competence: Food & Agribusiness.

Reference to Rabobank’s sustainability ratings are on http://www.rabobank.com/content/investor_relations/ratings/sustainability_ratings.jsp

About FMO

The Netherlands Development Finance Company (FMO) is the bilateral private sector development bank of the Netherlands. FMO invests in the private sector, which can serve as an engine of sustainable growth in developing markets. To this end, we provide capital, knowledge and partnerships to ambitious entrepreneurs. With an investment portfolio of € 5.9 billion, FMO is one of the largest bilateral private sector development banks worldwide. Our focus is on three sectors which create a high development impact: financial institutions, energy and agribusiness, food & water. This focus enables us to offer tailor-made finance solutions, based on real expertise. In other sectors, FMO teams up with renowned partners to combine local networks, knowledge and experience. We believe that our approach will lead to lasting economic and social development, which will empower people to employ their skills and improve their quality of life.

For more information, see: http://www.fmo.nl/investorrelations

Press contact:

Paul Hartogsveld, Communications Officer (PR)

T: +31 70 314 9924

E: p.hartogsveld@fmo.nl

FMO nominated for the 2012 Employer of the Year Award

Mon, 09 Jul 2012 16:11:39 +0200

FMO has officially been nominated for the 2012 Employer of the Year award. This contest is an initiative of Europe's largest employee survey specialist Effectory and Dutch VNU Media Publishing House. Fifty organisations (with less than 1000 employees) have been nominated for this award. The nomination is based on the results of their employee satisfaction surveys. The winners will be announced at an award event that will be held on 9 October 2012.

For the full list of nominees please visit http://www.beste-werkgevers.nl/genomineerden-2012/

FMO receives high sustainability rating by Sustainalytics

Tue, 10 Jul 2012 09:50:18 +0200

FMO came out number 1 out of a peer group of 24 financial institutions on sustainability, the 24 institutions also including European Investment Bank and World Bank.

The table was produced in January 2012 by the highly-respected rating agency Sustainalytics, who gave FMO an overall sustainability score of 86, a mark significantly higher than the sector average of 54.

On all three themes that are rated, Environmental, Governance and Social, FMO received high scores. Sustainalytics concluded that FMO has strong ESG policies and procedures that are implemented effectively. This rating further demonstrates FMO’s commitment to sustainability and responsible investment.

Sustainalytics’ customers include over 100 companies in the financial sector.

FMO signs Gouden Standaard agreement

Fri, 06 Jul 2012 14:02:32 +0200

This week, Rolf Daalder of FMO signed an agreement on implementing certain standards for facility services personnel. This ‘golden standard’ has been developed by the labor union of FNV Schoonmakers. It underlines the importance of the working conditions for facility services personnel in general. Given them the much needed respect that they deserve, creating and stimulating their development and ensuring that they are part of the organisation they work for are central points in achieving a mutually successful relationship.

Africa goes green - article published in Global Trade Review

Thu, 28 Jun 2012 09:50:31 +0200

Africa’s financial sector appears ready to embrace sustainable banking, says FMO's Africa and environmental specialists Patience Mayaki, Monika Veric and Jorim Schraven. After 40 years of working in the region, FMO is seeing a change of heart in Africa. Against the odds, its own financial sector may guide Africa onto a sustainable path to development. Not in the least because the business opportunities are there for the taking.

To read the full article published in the May/June edition of the Global Trade Review, please click here.

Interview Ruurd Brouwer - developing countries offer major business opportunities

Thu, 28 Jun 2012 09:50:59 +0200

In the June 2012 edition of B&E magazine - professional journal for the financial sector - an interview is published with Ruurd Brouwer, FMO's director Financial institution. In this interview he talks about the many business opportunities emerging countries offer and what we can learn from them.

For the full interview (dutch only), click on link below.

"Zie landen in ontwikkeling niet als een bodemloze put, maar als gebieden met gigantische - zakelijke - groeimogelijkheden"

FMO and Oikocredit creating opportunities in low income countries

Thu, 21 Jun 2012 15:06:12 +0200

Dutch development bank FMO and social investor Oikocredit have launched a €10 million fund to create business opportunities in low income countries. By providing access to finance, the Low Income Countries (LIC) Fund aims to support micro and small entrepreneurs in countries recognized by the United Nations as low income.

With this fund, FMO and Oikocredit will invest predominantly in central and southern African countries through rural-based microfinance institutions and small to medium enterprises (SMEs). Both FMO and Oikocredit will put €5 million towards the fund. Microfinance institutions providing financial services to micro- and small entrepreneurs will receive 75% of the loans and the remainder will be used for SME funding. Oikocredit, with its vast network of local offices and expertise in rural expertise, will act as fund manager.

Ben Simmes, managing director at Oikocredit: “While FMO invests large amounts in microfinance institutions mainly active in urban areas, Oikocredit invest smaller amounts and provides funding to the relatively smaller microfinance institutions with a strong focus on rural regions. Together, we aim to provide micro and small entrepreneurs in the world’s poorest countries with access to finance. The LIC Loan Fund fits Oikocredit’s strategy to expand its portfolio in Africa.”

Maurice Scheepens, Investment Officer at FMO: “The interesting aspect of this concept is its ability to cater for the needs of growing companies. Once the fund has provided its support to companies at the bottom of the pyramid, the respective companies can qualify for a 'regular' Oikocredit loan and subsequently for a larger facility from FMO. Thereafter, the company is well qualified for support from commercial banks. This way, Oikocredit and FMO optimally combine the strengths of their organisations.”

With the launch of the LIC Loan Fund, FMO and Oikocredit extend their cooperation in inclusive finance. Both organizations are shareholders in a number of MFIs and Oikocredit has a stake in The Currency Exchange Fund (TCX), co-founded by FMO.

FMO
The Netherlands Development Finance Company (FMO) is the bilateral private sector development bank of the Netherlands. FMO invests in the private sector, which can serve as an engine of sustainable growth in developing markets. To this end, we provide capital, knowledge and partnerships to ambitious entrepreneurs. With an investment portfolio of € 5.9 billion, FMO is one of the largest bilateral private sector development banks worldwide. Our focus is on three sectors which create a high development impact: financial institutions, energy and agribusiness, food & water. This focus enables us to offer tailor-made finance solutions, based on real expertise. In other sectors, FMO teams up with renowned partners to combine local networks, knowledge and experience. We believe that our approach will lead to lasting economic and social development, which will empower people to employ their skills and improve their quality of life.

Oikocredit

Oikocredit is one of the world’s largest sources of private funding to the microfinance

sector. It provides credit and equity to small businesses through microfinance

institutions across the developing world and directly to trade cooperatives, fair trade

organizations and small-to-medium sized enterprises (SMEs). Oikocredit is privately financed. More information: www.oikocredit.org

Press contacts

· FMO: Paul Hartogsveld; p.hartogsveld@fmo.nl, +31 (0)6 39 44 72 88

· Oikocredit International: Kawien Ziedses des Plantes, kziedsesdesplantes@oikocredit.org, +31 (0)6 272 549 04.

FMO provides USD 20 million loan to Trade & Development Bank of Mongolia

Mon, 18 Jun 2012 09:21:36 +0200

FMO (the Netherlands Development Finance Company) has provided a 5-year USD 20 million combination of a subordinated Tier 2 (USD 10m) and senior (USD 10m) loan to Trade & Development Bank of Mongolia (TDB). TDB is one of the three large banks in Mongolia and the major corporate business bank in the country.

Mongolia experiences a mining-driven economic boom and TDB plays an essential role in fulfilling the strong economic potential of the country. By developing an Environmental and Social Management System (ESMS), TDB will set an important example in Mongolia’s relatively small domestic financial sector. FMO supports this process with a margin reduction incentive.

In addition, by providing Tier 2 capital we enable the bank to continue its successful growth trajectory. The transaction complements FMO’s Asian portfolio in Mongolia very well, since existing clients XacBank and KhanBank both have a strong focus on smaller SME’s and retail finance.

About TDB

TDB, with its leading position in universal banking, offers a full range of services, including large corporate, SME and retail lending and acts as a primary lender to most of the country’s leading corporations. The Bank has consolidated its market leading position in the handling of international trade finance and remittance, with access to credit lines from major international lenders and correspondent banking relationships with over 150 international financial institutions. TDB offers over 100 types of international standard banking products and has about 1000 highly qualified staff providing personal attention and user friendly banking services through a network of 43 branches and settlement centers. TDB is undoubtedly the major player in the financial and banking markets as well as a major innovator of the Mongolian financial sector.

About FMO

The Netherlands Development Finance Company (FMO) is the bilateral private sector development bank of the Netherlands. FMO invests in the private sector, which can serve as an engine of sustainable growth in developing markets. To this end, we provide capital, knowledge and partnerships to ambitious entrepreneurs. With an investment portfolio of € 5.9 billion, FMO is one of the largest bilateral private sector development banks worldwide. Our focus is on three sectors which create a high development impact: financial institutions, energy and agribusiness, food & water. This focus enables us to offer tailor-made finance solutions, based on real expertise. In other sectors, FMO teams up with renowned partners to combine local networks, knowledge and experience. We believe that our approach will lead to lasting economic and social development, which will empower people to employ their skills and improve their quality of life.

FMO signs first contract in Sustainable Forestry

Mon, 18 Jun 2012 09:08:18 +0200

FMO (the Netherlands Development Finance Company) has executed a subscription agreement to invest in the New Forests Tropical Asia Forest Fund (TAFF), a private equity fund managed by Australian-based fund manager New Forests. With FMO’s USD 15 million investment, financed out of the government fund IDF, TAFF now has completed a first close with commitments of USD 100 million and immediately investible capital of USD 76 million. Other investors in TAFF include the Finnish Fund for Industrial Cooperation (Finnfund), the Danish Development Bank (IFU) and two European pension funds.

The Fund will make investments in new and existing Forest Stewardship Council (FSC) certified timber plantations, natural forest concessions and timber processing facilities in South-East Asia. TAFF has a high level of commitment to sustainable development, which it aims to achieve by: (i) complying with IFC Performance Standards and attaining FSC certification for its assets; and (ii) investing in environmental assets that can profit from a growing demand for forestry related carbon offsets (including REDD) and biodiversity offsets. The Fund is a first of its kind, as there are no comparable private equity funds active in South-East Asia in this sector. FMO will further provide a EUR 200,000 grant to promote the development of the environmental assets that TAFF plans to acquire as part of its investment program.

New Forests Managing Director, David Brand said, “We are pleased to see the first close of the Tropical Asia Forest Fund, which we believe will be the start of a growing trend towards institutional investment in sustainable forestry in the Asia Pacific Region. We also recognize that the support of FMO and the other development finance organizations has played an important role in supporting the strong orientation of TAFF towards sustainable and responsible investment.”

“This landmark first contract in Sustainable Forestry marks an important step towards a more sustainable planet. Together with other investments in the so-called Climate Business, this investment contributes to the reduction of greenhouse gas emissions from deforestation and forest degradation, which is responsible for about 15% of global greenhouse gas emissions annually,” said Nanno Kleiterp, CEO of FMO.

About FMO

The Netherlands Development Finance Company (FMO) is the bilateral private sector development bank of the Netherlands. FMO invests in the private sector, which can serve as an engine of sustainable growth in developing markets. To this end, we provide capital, knowledge and partnerships to ambitious entrepreneurs. With an investment portfolio of € 5.9 billion, FMO is one of the largest bilateral private sector development banks worldwide. Our focus is on three sectors which create a high development impact: financial institutions, energy and agribusiness, food & water. This focus enables us to offer tailor-made finance solutions, based on real expertise. In other sectors, FMO teams up with renowned partners to combine local networks, knowledge and experience. We believe that our approach will lead to lasting economic and social development, which will empower people to employ their skills and improve their quality of life.

About New Forests

New Forests Pty Limited (“New Forests”) (www.newforests.com.au) manages investments in sustainable forestry and associated environmental markets for institutional and other qualified wholesale investors. New Forests executes three investment strategies that provide clients with diversity and choice around risk-adjusted returns, geography, and market exposure: sustainable timberland investment in Australia and New Zealand; forestry investment in high-growth markets of the Asia Pacific region; and conservation real estate and environmental markets investment in the United States. The company has offices in Sydney, Singapore, and San Francisco and currently manages more than $1.25 billion in assets and over 400,000 hectares of land in Australasia, the United States, and Asia.

Press contact:

Paul Hartogsveld, Communications Officer (PR)

T: +31 70 314 9924

E: p.hartogsveld@fmo.nl

Reliance Power secures USD 302 million financing for concentrated solar project

Tue, 12 Jun 2012 14:25:46 +0200

The innovative 100MW Concentrated Solar Power (“CSP”) Project located in the state of Rajasthan in India, owned by Reliance Power, has secured USD 302million in debt financing.

The Project is developed under Phase I of the Jawaharlal Nehru National Solar Mission, which has set a target of 20GW solar power by 2020, will provide clean energy to India and support the diversification of its energy system which is largely reliable on thermal power.

The Project is constructed on a turnkey basis by Reliance Infrastructure with Areva Solar as its solar technology partner. The project uses the Compact Linear Fresnel Reflector technology (“CLFR”) developed by Areva. CLFR is a relatively advanced solar thermal technology in which rows of parallel mirrors reflect solar radiation onto a linear receiver. Water is pumped through the linear receiver and heated to steam, which drives the steam turbine and generator. The Steam Turbine and Generator are provided by Siemens.

Reliance Power’s CEO, J.P. Chalasani said: “We are proud to announce financial closure of our 100 MW CSP Solar Project at a site adjacent to our recently commissioned 40 MW PV project. The project is among the largest CSP Projects in the world and would prove to be one more step towards achieving our goal of developing one of the largest renewable energy portfolios in India. We are thankful to the international lenders community, including FMO, ADB, US-Exim and Axis Bank, to play a crucial role in financial closure of this project.”

FMO’s Director Energy, Huub Cornelissen said: “This landmark transaction developed by Reliance Power will support the energy matrix in India with cleaner and more sustainable energy. We are proud to be part of the financing of this innovative technology and pleased to work with investors who are also committed to renewable energy”.

About the transaction

Project debt financing is provided by Asian Development Bank (USD 103 million), Export-Import Bank Of The United States (USD 80 million), The Netherlands Development Finance Company FMO (USD 85 million, of which USD 15 million subordinated), Axis Bank (USD 14 million in INR) and another party (USD 20 million in INR). FMO also mobilized funding from the Interactive Climate Change Fund (“ICCF”), which funds are provided by a group of 11 European Development Finance Institutions

About Reliance Power

Reliance Power Limited, a part of Reliance Group, is India's leading private sector power generation company. The company has the largest portfolio of power projects in the private sector based on coal, gas, hydro and renewable energy, with an operating portfolio of 1200 MW. The company also has the largest captive coal reserves in the private sector, estimated at more than two billion tons. Besides, the company has purchased three coal mines in Indonesia and also has plans to develop coal bed methane based generation capacity.

About FMO

FMO focuses on three sectors that have high development impact: financial institutions, energy, and agribusiness, food & water. With an investment portfolio of EUR 5.9 billion, FMO is one of the largest European bilateral private sector development banks.

Press contact:

Paul Hartogsveld, Communications Officer (PR)

T: +31 70 314 9924

E: p.hartogsveld@fmo.nl

New investment fund focusing on financial sector in emerging asia

Fri, 01 Jun 2012 10:24:20 +0200

Japan’s SBI Holdings, Inc. (hereinafter “SBIH”) and the Netherlands Development Finance Company (hereinafter “FMO”) have reached agreement to form a fund, which will be managed by SBI Ven Capital (Singapore), to invest in promising financial sector opportunities in emerging Asia. The fund will have a size of up to USD 80 million, with a first close target of USD 60 million (of which close to 85% has already been committed).

Bolstered by an increase in domestic consumption as well as an increase in intra Asian trade, emerging Asia is expected to continue growing at a healthy pace. High expected economic growth, ongoing structural reforms which may result in consolidation opportunities, socio-political intent to spur financial inclusion, as well as technological advances, all augur well for financial sector investments in emerging Asia.

So far, the SBI Group has made numerous financial sector investments in emerging Asia with high potential while, FMO provides debt and equity to more than 180 financial institutions in emerging markets (including to a number of financial institutions in emerging Asia). This fund will leverage both of SBIH’s and FMO’s extensive financial services platforms that include investment expertise in identifying and managing promising investment opportunities to capture high growth opportunities in this rapidly evolving sector, while adhering to client protection principles and to FMO’s exclusion list policies.

In addition to being one of the largest Japanese PE firms (with AUM in excess of USD 3 billion), the SBI Group is a leading global internet-based financial conglomerate. The SBI Group’s core businesses include Asset Management, Brokerage and Investment Banking, Commercial Banking and Insurance. As of March 31, 2012, the SBI Group consists of 140 companies (including consolidated partnerships, equity method affiliates and 6 publicly listed companies). SBI currently has investments in more than 13 countries across Asia.

About FMO

FMO is the bilateral private sector development bank of the Netherlands. It invests in the private sector, which can serve as an engine of sustainable growth in developing markets. To this end, it provides capital, knowledge and partnerships to ambitious entrepreneurs. With an investment portfolio of € 5.9 billion, FMO is one of the largest bilateral private sector development banks worldwide. Its focus is on three sectors which create a high development impact: financial institutions, energy and agribusiness, food & water. This focus enables FMO to offer tailor-made finance solutions, based on real expertise. In other sectors, it teams up with renowned partners to combine local networks, knowledge and experience. FMO believes that its approach will lead to lasting economic and social development, which will empower people to employ their skills and improve their quality of life.

For further information, please contact:

SBI Holdings, Inc,: Corporate Communications Dept., Tel: +81 3 6229 0126

FMO, : Corporate Communications Dept., Tel: +31 70 314 9924