As a public-private development bank, it is crucial that our governance structure and reporting lines are sound and transparent. This is made even more important by our role in embedding sound corporate governance practices in partner and client organizations.
FMO has a two-tier board structure, with a Management Board and a Supervisory Board.
The Management Board develops and implements FMO's strategy and is responsible for ensuring we comply with relevant legislation and regulations. It comprises three statutory directors: the Chief Executive Officer, the Chief Investment Officer and the Chief Risk and Finance Officer.
The Supervisory Board appoints the members of the Management Board and oversees its activities. It supervises and advises the Management Board on the management and strategic development of the company. The Supervisory Board currently consists of seven members with specific expertise in FMO's focus areas.
FMO abides by two governance codes: the Dutch Corporate Governance Code and the Banking Code. Both the Dutch Corporate Governance Code and the Banking Code -- drawn up in the wake of the financial crisis to help the financial sector improve its performance and thereby increase public trust in banks -- work according to the 'comply or explain' principle.
The Banking Code mainly relates to the functioning of managing boards and supervisory boards in a specifically banking context, with risk management receiving particular attention. The Dutch Corporate Governance Code contains principles and best-practice provisions to be observed by managing boards, supervisory boards and shareholders. More information on the implementation of these codes can be found in the Report of the Supervisory Board.