MICROCAPITAL BRIEF: Netherlands Development Finance Company (FMO) Issues $675m in Bonds to Fund Inclusive Finance, Renewable Energy, Agriculture, Other Projects

The Netherlands Development Finance Company (FMO), a Dutch public-private partnership that aims to promote growth in developing economies, recently issued five-year  “Sustainability Bonds” in the amount of EUR 500 million (USD 675 million) to finance environmentally friendly and socially responsible initiatives related to renewable energy, agriculture, food processing, forestry, transportation, access to water and microfinance [1]. Fifty investors from the Netherlands and other European countries bought bonds that were issued in EUR 100,000 (USD 135,000) and EUR 1,000 (USD 1,350) increments.

As of 2012, FMO reports total assets of EUR 5.6 billion (USD 7.3 billion).

By Megan McGowan, Research Associate

About Nederlandse Financierings-Maatschappijvoor Ontwikkelingslanden N.V. (FMO):

The Netherlands Development Finance Company (FMO) is a public-private development bank that supports financial institutions and governments through “loans, guarantees and other investment promotion activities including local-currency investments.” The bank was founded in 1970 by the Dutch government, private sector employers and employee organizations. As of December 2012, FMO reports total assets of EUR 5.6 billion (USD 7.3 billion).

Sources and Additional Information:

[1] FMO Press Release, http://www.fmo.nl/k/n114/news/view/13829/179/fmo-issues-eur-500-mln-5-year-sustainability-bond.html

MicroCapital: “International Finance Corporation (IFC) Issues $165m in Bonds to Support Women-owned Businesses,” November 26, 2013, https://www.microcapital.org/microcapital-brief-international-finance-corporation-ifc-issues-165m-in-bonds-to-support-women-owned-businesses/

MicroCapital: “FMO, International Finance Corporation (IFC), KfW Entwicklungsbank Invest $5.4m in AccessBank Rwanda,” July 22, 2013, https://www.microcapital.org/microcapital-brief-fmo-international-finance-corporation-ifc-kfw-entwicklungsbank-invest-5-4m-in-accessbank-rwanda/

MicroCapital: “AccessBank of Azerbaijan Receives $60m Syndicated Loan from FMO, OeEb, PROPARCO,” June 25, 2013, https://www.microcapital.org/microcapital-brief-accessbank-of-azerbaijan-receives-60m-syndicated-loan-from-fmo-oeeb-proparco/

MicroCapital Universe Profile: Netherlands Development Finance Company (FMO, https://www.microcapital.org/microfinanceuniverse/tiki-index.php?page=Nederlandse+Financierings-Maatschappijvoor+Ontwikkelingslanden+N.V.+%28Netherlands+Development+Finance+Company%2C+FMO%29

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