FMO fully supports this shared plan of action for people, planet and prosperity. Through its mission and activities, FMO contributes directly and indirectly to the achievement of the SDGs. We directly contribute to the SDGs at three distinct levels:
1. Core business and goals
FMO directly contributes to SDG8 decent work and economic growth via our target on number of jobs supported. We have set ourselves ambitious goals to double the number of supported jobs and through our environmental, social and governance (ESG) standards we support our clients to improve on business integrity, a healthy working environment and sustainability.
We contribute to SDG 13 climate action by doubling the amount of GHG avoided, through primarliy our investments in renewable energy. Here we also look for alternative ways to make projects bankable by blending government funds with commercial funds. Examples are Climate Investor One and ElectriFi supporting renewable energy investments, with a focus on rural electrification.
In addition, we seek to SDG10 reduce inequalities by pursuing inclusive deals.
2. Sector focus
FMO sector portfolios contribute to additional SDGs. No hunger (SDG2) is positively impacted by our Agribusiness investments. To improve food security and to meet the world's growing demand, FMO invests across the agribusiness value chain in an environmentally viable and socially inclusive manner.
We consider power shortage as one of the biggest barriers of development for billions of people. We offer financing solutions for renewable energy projects, off-grid solutions, refurbishments and efficiency improvements. That is how we support renewable energy and energy efficiency (SDG7).
Gender equality (SDG5) is promoted through a variety of deals. We are stepping up our efforts in this area, for instance by providing a dedicated facility and capacity development to support women-owned businesses. Additionally, we are actively seeking projects that support jobs for women and have a positive impact on the position of women and girls.
To enhance impact, we further seek to maximize the volume of catalyzed funds through commercial or blended structures where other parties are encouraged to join our investments thereby contributing to partnerships (SDG17).
3. Environmental, Social and Governance standards
Adhering to international standards on Environmental, Social and Governance risk management (ESG) and taking an active approach to client engagement, we pave the road for SDG delivery. We actively challenge the businesses we invest in to meet and maintain high levels of environmental and social performance. This way we not only mitigate risks in these areas but also create opportunities to positively contribute to the SDGs.