Stakeholder engagement on material topics

The following table provides an overview of our key stakeholders, which topics are most material to them, how we engage with each and how this engagement contributes to realizing our long-term objectives.

Stakeholder group

Most material topics

Frequency and means of engagement

How the relationship contributes to FMO's long-term objectives

Clients - Our clients are companies, financial institutions, private equity fund managers, and infrastructure and energy project developers in developing countries.

Development impact

Frequent business meetings, specific events or conferences

We actively seek clients and projects with high potential for positive impact in terms of economic growth, social progress and environmental sustainability. We support our clients to realize their positive impact.

Financial sustainability

Client satisfaction

State of the Netherlands - We were founded as a public-private partnership with 51% of our shares held by the State of the Netherlands, through the Ministry of Finance.

Development impact

Regular meetings with Ministry of Finance and Ministry of Foreign Affairs

As part of the Dutch government’s international development agenda, our mandate is to promote private sector development in developing countries. The Dutch government also guarantees our financial commitments and entrusts us with the management of a number of government funds that have strong synergies with the overall FMO strategy.

Financial sustainability

Transparency and accountability

Shareholders - The remaining 49% of our shareholders’ capital is provided by commercial banks, trade unions and other private sector parties.

Financial sustainability

Annual General Meeting of shareholders

Our shareholders provide the basis for our financial sustainability.

Development impact

Transparency and accountability

Employees - Includes Directors, Management Board and Executive Committee.

Development impact

Scheduled works council meetings, department meetings, town hall meetings

Our employees and management contribute to the realization of FMO's objectives. Directors and managers are involved in annual strategy review to ensure we continue to realize our mission.

Financial sustainability

Environmental footprint of FMO’s investments

Investors - Includes bond investors, public investors and commercial partners who help us mobilize private capital through syndicated loans, unfunded risk participations or funds advised on by FMO Investment Management, as well as the institutional and private investors that invested in these funds.

Development impact

Roadshows, frequent meetings

We offer investors access to our expertise on responsible investing in emerging markets while providing our clients with increased access to long-term financing and diversified lending.

Transparency and accountability

Business integrity

Partner Development Finance Institutions (DFIs) - Includes international financial institutions and multilateral banks.

Development impact

Scheduled business meetings

Our financing partners co-finance with us and deliver valuable local knowledge about the markets in which we operate.

Financial sustainability

Promote ESG best practices

Non-governmental organizations (NGOs) - Includes international organizations with corporate/local presence that represent environmental and human rights advocates, knowledge centers and banking whistle blowers.

Environmental footprint of FMO’s investments

Scheduled meetings

Through engaging with NGOs we aim to improve our ESG investment policies and practices. We are stepping up our efforts on the environment through our 1.5 degree pathway, human rights performance standards and venture capital initiatives.

Human rights

Development impact

Local communities and clients of clients1 - As FMO is active in 91 countries, we work with NGOs to gain deeper understanding of local community needs. Moreover, our clients engage with their stakeholders in accordance with IFC Performance Standards.

Environmental footprint of FMO’s Investments

Ad hoc meetings

We continue to improve our way of working so that our clients can create jobs (directly and indirectly in the value chain), manufacture products and deliver services in a more environmentally sustainable and socially responsible way. Local communities and clients of clients represent the people who put development impact into action.

Human rights

Development impact

Supervisor and regulator - Dutch Central Bank (DNB).

Financial sustainability

Regular meetings

The Dutch Central Bank supervises that we manage risks in adherence to our risk appetite. A recent example were DNB findings in 2018 regarding our KYC procedures, which have led us to implement improvements. Our In Control Framework ensures continuous measurement and monitoring of the drivers in our risk universe.

Transparency and accountability

Business integrity

Knowledge partners - Universities, NGOs, independent consultants who execute development impact evaluations.

Environmental footprint of FMO’s Investments

Scheduled meetings

Through scheduled consultation, knowledge partners help us develop relevant knowledge in order to finance innovative and impactful projects.

Promote ESG best practices

Development impact

  • 1 Not included in materiality survey, please refer to How we report