Products and services
Developing countries are often considered high risk. Because of this, even their most innovative, promising businesses often lack access to the financing needed to reach their potential. FMO meets this need with a range of services and products that include:
- Loans and guarantees;
- Long-term and short-term project finance;
- Mezzanine finance and other tailor-made solutions;
- Capital market transactions; and
- Access to our expertise, network and partnerships.
FMO tailors each financial service to meet the needs of each particular client. These financial services are often long-term and carry higher financial risks than commercial investors are willing or able to take. A minor part of our investment financing is partially guaranteed by the Dutch State under the Faciliteit Opkomende Markten (FOM).
Throughout the annual report all figures or percentages for ‘FMO’ refer to the financing activities from FMO’s own resources including FOM.
For clients and projects whose risks are too high for our own account, we make use of our access to Government funds, providing clients with innovative financial structures. FMO has access to the Government funds Massif, Infrastructure Development Fund (IDF), Access to Energy Fund (AEF) and FOM OS which was newly set up in 2012. These Government funds are an important part of FMO’s strategy. Unless specifically stated differently, all figures in the annual report regarding new commitments, committed portfolio and development impact include these financing activities from Government funds.
Alongside financing, we provide services such as environmental and social management support and assistance with corporate governance, which can mitigate many of the risks involved. We also have a Capacity Development program, which supports clients with the aim of improving their management skills and technical expertise.