Letter from the MB of the Programme Manager
Stepping Up
At the heart of FMO's strategy lies the commitment to enable entrepreneurs to increase inclusive and sustainable prosperity. Looking back on 2024, we must acknowledge several concerning trends: rising geopolitical turmoil and weakening institutional foundations threaten global stability and solidarity, disproportionately affecting the most vulnerable people. Additionally, we are witnessing the public withdrawal of several major financial players from their climate and environmental, social and governance (ESG) commitments. In this context, FMO calls on the financial sector to remain resolute in advancing sustainable investment strategies. Financial institutions are pivotal in enabling local economic growth, reducing inequality and driving meaningful climate action, key factors in global stability. Investing in access to (green) energy, food and finance creates long-term value, something FMO has demonstrated consistently over 50 years of impactful and profitable investments.
Amidst these challenges, FMO recognizes the urgent need to step up even more. However, meaningful change cannot be achieved alone, partnerships are essential. By working together, we can drive sustainable investments, create economic opportunities in our markets, and build a more resilient, inclusive future.
The strengths of partnerships
By providing crucial financial support and mobilizing additional funding for underserved regions - in 2024 we managed to directly mobilize more than 60 cents from investors for each Euro we invested from our own balance sheet - FMO has continued to make a tangible impact. The strength of our partnerships - evident in the success of initiatives such as the SDG Loan Fund and European Commission guarantees - enable us to expand programmes like NASIRA and the FMO Ventures Program. These programmes contribute to local livelihood options for the one billion young people who will try to enter the job market over the next decade - a majority living in emerging markets. We are also grateful for the increased funding for the Dutch Fund for Climate and Development (DFCD) from the Dutch government and the European Commission, and for Mobilising Finance for Forests (MFF) from both the Dutch and UK governments.
The Netherlands’ Ministry of Foreign Affairs joined MFF as a second funding partner in 2024, coming in alongside the UK Government. The additional funding MFF is receiving will enable further investments that benefit tropical forests, while also enabling us to mobilize additional private finance into this critical sector.
Looking ahead
In a volatile global landscape, FMO faces three key long-term challenges: a scarcity of investment-ready companies, limited availability of concessional funding, and increasing regulatory requirements. We remain committed to our 2030 ambitions and will increase our efforts to stay on track. We will in particular focus on RI-labeled investments, especially in LDCs and on Green investments. Crucial next steps include the Market Creation initiative, onboarding of new EFSD+ programmes and our increased cooperation with the Dutch and UK governments. As we reflect on the past year and prepare for the challenges ahead, we recognize that our achievements would not have been possible without our partners, and we extend our heartfelt gratitude to them for their trust and collaboration over the past year. We remain dedicated to deliver on the impact and trust that our partners place on us. At FMO, we believe that doing makes the difference, and that amidst the global turmoil, stepping up is a must.
The Hague, 31 March 2025
On behalf of the Management Board
Fatoumata Bouaré, Chief Finance & Operations Officer
Franca Vossen, Chief Risk Officer
Huib-Jan de Ruijter, Co-Chief Investment Officer
Michael Jongeneel, Chief Executive Officer
Peter Maila, Co-Chief Investment Officer