Notes to the consolidated statement of financial position: assets

1. Cash balances with Banks

	2025	2024
Cash balances with Banks	140,239	43,087
Balance at December 31	140,239	43,087

Cash balances with Banks include funding received by FMO under sub‑delegation agreements that is in the process of being transferred to the sub‑delegee. This funding is recognized as an asset by FMO until the point at which it is transferred, with a corresponding liability presented under ‘Accrued and other liabilities'.

The cash balances with banks can be freely disposed of. All bank accounts are classified as Stage 1.

2. Current accounts with State funds and other programs (assets)

	2025	2024
Current account EIB	230	231
Current account MFF	291	292
Current account BP	-	118
Current account MASSIF	770	336
Current account MCP	1,014	359
Current account Nasira+	883	-
Current account FCDO Nepal	19	-
Balance at December 31	3,207	1,336

These are current accounts maintained for the State Funds' administration, and these are classified as Stage 1.

3. Short-term deposits

	2025	2024
Collateral delivered (related to derivative financial instruments)	96,230	381,245
Cash held at central bank	518,721	702,745
Mandatory reserve deposit with Dutch Central Bank	6,098	8,211
Collateral delivered to European Central Bank	2,946	2,946
Other short-term deposits	-	16,739
Short-term deposits measured at AC	623,995	1,111,886
Commercial paper	269,632	240,726
Money market funds	176,498	128,755
Short-term deposits measured at FVPL	446,130	369,481
Balance at December 31	1,070,125	1,481,367

Mandatory reserve represents the average daily target set by regulator and is not available for users in FMO’s day-to-day operations.

Short-term deposits have a maturity of less than three months.

Short term deposits at amortized cost are classified as Stage 1.

4. Other receivables

	2025	2024
Taxes and social premiums	1,731	564
Transaction fee receivables and prepayments	18,184	17,757
Wage tax asset	6	72
Suspense accounts	13,566	-
Balance at December 31	33,487	18,393

Other receivables are classified as Stage 1.

In this consolidated financial statements, immaterial presentation updates have been made to aggregate 'Wage tax assets', which was presented separately in the December 31, 2024 consolidated annual financial statements, with 'Other receivables'.

5. Interest-bearing securities

This portfolio contains marketable bonds with fixed interest rates. Interest-bearing securities (credit quality of AA+ or higher) recognized at Amortized Cost are classified as Stage 1. An amount of €51k (2024: €60k) is calculated for the ECL as per December 31, 2025.

From 2024 FMO started to invest in interest-bearing securities measured at fair value through profit and loss. Interest rate swaps are entered into to manage the risk associated with the securities and these swaps are measured at fair value through profit and loss. Therefore, to eliminate a possible accounting mismatch, the interest-bearing securities are designated at fair value through profit and loss. The interest-bearing securities are initially measured at fair value and subsequent changes in fair value are recognized immediately in profit and loss. The maximum credit exposure of the securities is €134 million and the cumulative change in fair value for the period is a gain of €1 million. The notional value of the swaps is €130 million, and the cumulative change in fair value for the period is a loss of €1 million. The movements in fair value are attributable to market risk.

	2025	2024
Bonds Amortised Cost (listed)	573,170	481,798
Bonds Fair Value (listed)	134,120	107,596
Balance at December 31	707,290	589,394

The movements can be summarized as follows:

	Bonds measured at AC	Bonds measured at FV	Total
Movement
Balance at January 1	481,798	107,596	589,394
Amortization premiums/discounts	406	-	406
Purchases	260,827	26,958	287,785
Redemptions	-155,964	-	-155,964
Changes in ECL allowances	8	-	8
Changes in fair value	-	746	746
Changes in accrued income	1,387	754	2,141
Exchange rate differences	-15,292	-1,934	-17,226
Balance at December 31, 2025	573,170	134,120	707,290

	Bonds measured at AC	Bonds measured at FV	Total
Movement
Balance at January 1	539,708	-	539,708
Amortization premiums/discounts	534	-	534
Purchases	26,567	105,000	131,567
Redemptions	-93,422	-	-93,422
Changes in ECL allowances	23	-	23
Changes in fair value	-	283	283
Changes in accrued income	99	2,313	2,412
Exchange rate differences	8,289	-	8,289
Balance at December 31, 2024	481,798	107,596	589,394

6. Derivative financial instruments and hedge accounting

Use of derivatives and hedge accounting

Derivatives are held for both economic hedging purposes and for hedge accounting purposes. FMO uses derivatives for hedging purposes in the management of its asset and liability portfolios and structural risk positions. These risks are hedged with interest rate swaps, cross currency swaps and cross currency interest rate swaps. These instruments relate to a combination of highly liquid currencies and emerging market currencies. The objective of hedging is to enter into positions with an opposite risk profile to an identified exposure to reduce that exposure. The objective of FMO hedging activities is to optimize the overall cost to the bank of accessing debt capital markets and to mitigate the risk that would otherwise arise from structural imbalances in the duration and other profiles of its assets and liabilities. The accounting treatment of hedge transactions varies according to the nature of the instrument hedged and whether the hedge qualifies under the IFRS hedge accounting rules.

Derivatives that qualify for hedge accounting under IFRS are classified and accounted for in accordance with the nature of the instrument hedged and the type of IFRS hedge model that is applicable. FMO applies fair value hedge accounting to the funding portfolio with interest rate swaps as hedging instruments. To qualify for hedge accounting under IFRS, strict criteria must be met. Certain hedges that are economically effective from a risk management perspective do not qualify for hedge accounting under IFRS. The fair value changes of derivatives relating to such non-qualifying hedges are taken to the statement of profit or loss and recorded under the line results from financial transactions. If hedge accounting is applied under IFRS, it is possible that during the hedge a hedge relationship no longer qualifies for hedge accounting and hedge accounting cannot be continued, even if the hedge remains economically effective. As a result, the volatility arising from undertaking economic hedging in the statement of profit or loss may be higher than would be expected from an economic point of view. With respect to exchange rate and interest rate derivative contracts, the notional or contractual amount of these instruments is indicative of the nominal value of transactions outstanding at the statement of financial position date. However, they do not represent amounts at risk.

For the year ended December 31, 2025, FMO recognized a loss of €2.3 million for hedge ineffectiveness on the micro fair value hedges (2024: €7.3 million gain). The gain on the hedging instruments amounts to €82.6 million (2024: €48.7 million gain). The loss on hedged items attributable to the hedged risk amounts to €84.9 million (2024: €41.4 million loss). The result is mainly attributed to the mismatch in the valuation curves.

Micro fair value hedge accounting

FMO only applies a micro-hedging strategy, hence at hedge inception the test is conducted. FMO’s micro fair value hedges consist of interest rate swaps that are used to protect against changes in the fair value of fixed-rate instruments due to movements in market interest rates. Gains and losses on derivatives designated under fair value hedge accounting and hedged items are recognized in the statement of profit or loss.

Derivatives other than hedge accounting instruments

FMO uses various derivatives to hedge its assets and liabilities against interest rate risk and market risk. During the period, the derivatives position has increased slightly, which is related to newly entered positions (see tables below). Changes in curves and FX were the main drivers for the changes in fair value.

The following table summarizes the notional amounts and the fair values of derivatives. Some derivatives are held to reduce interest rate risks and currency risks but do not meet the specified criteria to apply hedge accounting for the reporting period. The table also includes derivatives related to the asset portfolio.

	2025
	Carrying amount
	Notional amount	Assets	Liabilities	Change in fair value used for calculating hedge ineffectiveness	Ineffectiveness recorded in profit or loss	Line item in P&L that includes hedge ineffectiveness
Derivatives hedge accounting instruments:
Interest rate swaps	5,414,841	63,588	50,214	82,609	-2,289	Results from financial transactions

Derivatives other than hedge accounting instruments:
Currency swaps	716,408	4,371	1,638
Interest rate swaps	2,749,004	13,349	8,916
Cross-currency interest rate swaps	3,721,572	152,175	72,990
Subtotal	7,186,984	169,895	83,544
Embedded derivatives related to asset portfolio		-	10,231
Total derivative assets /(liabilities) other than hedge accounting instruments	7,186,984	169,895	93,775
Balance at December 31	12,601,825	233,483	143,989

	2024
	Carrying amount
	Notional amount	Assets	Liabilities	Change in fair value used for calculating hedge ineffectiveness	Ineffectiveness recorded in profit or loss	Line item in P&L that includes hedge ineffectiveness
Derivatives hedge accounting instruments:
Interest rate swaps	5,541,648	27,739	131,728	48,680	7,254	Results from financial transactions

Derivatives other than hedge accounting instruments:
Currency swaps	319,791	2,687	389
Interest rate swaps	3,055,885	41,008	5,537
Cross-currency interest rate swaps	3,349,386	54,905	321,490
Subtotal	6,725,062	98,600	327,416
Embedded derivatives related to asset portfolio		-	12,242
Total derivative assets /(liabilities) other than hedge accounting instruments	6,725,062	98,600	339,658
Balance at December 31	12,266,710	126,339	471,386

The amounts relating to items designated as hedged items were as follows:

	2025
	Carrying amount of the hedged item	Accumulated amount of fair value hedge adjustments on the hedged item included in the carrying amount of the hedged item
Balance sheet line item	Liabilities	Assets	Liabilities	Change in fair value used for calculating hedge ineffectiveness	Accumulated amount remaining in the balance sheet for any hedged items that have ceased to be adjusted for hedging gains and losses
Debentures and notes	5,427,499	-	-	-84,898
Balance at December 31	5,427,499	-	-	-84,898


	2024
	Carrying amount of the hedged item	Accumulated amount of fair value hedge adjustments on the hedged item included in the carrying amount of the hedged item
Balance sheet line item	Liabilities	Assets	Liabilities	Change in fair value used for calculating hedge ineffectiveness	Accumulated amount remaining in the balance sheet for any hedged items that have ceased to be adjusted for hedging gains and losses
Debentures and notes	5,472,577	-	-	-41,426	-
Balance at December 31	5,472,577	-	-	-41,426	-

Hedge of debentures and notes:

	2025
Risk category: Interest rate	Maturity
	Less than 1 month	1-3 months	3 months - 1 year	1-5 years	more than 5 years
Nominal amount (in millions of euro)	227	-	646	4,187	355
Average fixed interest rate (%)	1.6	-	2.1	3.1	2.9

	2024
Risk category: Interest rate	Maturity
	Less than 1 month	1-3 months	3 months - 1 year	1-5 years	more than 5 years
Nominal amount (in millions of euro)	-	-	1,221	4,224	97
Average fixed interest rate (%)	-	-	3.7	2.6	2.0

7. Loans to the private sector

These loans to the private sector include:

Loans to the private sector in developing economies are for the account and risk of FMO;
Loans in developing economies that are individually guaranteed by financial guarantors for 80 percent to 95 percent. Any losses will be compensated by the guarantors up to the guaranteed amount. Refer to the Credit risk section in the 'Risk Management' chapter for details of these guarantees received.

The movements in the loans to the private sector are as follows:

Loan movements
	Loans measured at AC	Loans measured at FVPL	Total
Balance at January 1, 2025	5,190,518	652,061	5,842,579
Disbursements	2,355,535	263,374	2,618,909
Interest capitalization	3,967	522	4,489
Conversion from loan to equity	-4,386	-1,202	-5,588
Part sold	-76,470	-2,827	-79,297
Repayments	-1,309,398	-110,224	-1,419,622
Write-offs / disposals	-11,110	-10,873	-21,983
Consolidation of group entities	-	-	-
Derecognized and /or restructured loans	-	-	-
Changes in amortizable fees	-8,246	-19	-8,265
Amortized premium / discount	-43	-	-43
Changes in fair value	-	2,919	2,919
Changes in accrued income	15,022	-11,565	3,457
Exchange rate differences	-582,555	-72,466	-655,021
Movement of impairment charges	31,781		31,781
Balance at December 31, 2025	5,604,615	709,700	6,314,315

Loan movements
	Loans measured at AC	Loans measured at FVPL	Total
Balance at January 1, 2024	4,295,723	587,940	4,883,663
Disbursements	1,672,784	67,267	1,740,051
Interest capitalization	7,060	2,252	9,312
Conversion from loan to equity	-7,887	-289	-8,176
Part sold	-57,159	-	-57,159
Repayments	-1,007,359	-55,088	-1,062,447
Write-offs / disposals	-53,283	-1,603	-54,886
Consolidation of group entities	21,212	3,730	24,942
Derecognized and /or restructured loans	-182	-	-182
Changes in amortizable fees	-708	-48	-756
Amortized premium / discount	-44	-	-44
Changes in fair value	-	9,126	9,126
Changes in accrued income	1,334	4,312	5,646
Exchange rate differences	270,805	34,462	305,267
Movement of impairment charges	48,222	-	48,222
Balance at December 31, 2024	5,190,518	652,061	5,842,579

The contractual amount of assets that were written off during the period are still subject to enforcement activity.

The line item "Consolidation of group entities" in the above movement schedule and used elsewhere in these notes relates to the consolidation in 2024 of the Land Use Facility part of the Dutch Fund for Climate Development.

Loans segmented by sector

	2025
	Stage 1	Stage 2	Stage 3	Fair value	Total
Financial Institutions	3,270,687	110,251	15,741	318,249	3,714,928
Energy	824,514	313,885	123,325	181,068	1,442,792
Agribusiness, Food & Forestry	804,727	27,844	42,405	161,115	1,036,091
Multi-Sector Fund Investments	16,639	-	208	-	16,847
Infrastructure, Manufacturing and Services	52,415	802	1,172	49,268	103,657
Balance at December 31	4,968,982	452,782	182,851	709,700	6,314,315


	2024
	Stage 1	Stage 2	Stage 3	Fair value	Total
Financial Institutions	2,741,998	25,093	23,067	419,947	3,210,105
Energy	864,504	413,932	129,418	58,578	1,466,432
Agribusiness, Food & Forestry	742,222	73,749	41,462	112,746	970,179
Multi-Sector Fund Investments	27,381	-	-	1,820	29,201
Infrastructure, Manufacturing and Services	34,815	67,155	5,722	58,970	166,662
Balance at December 31	4,410,920	579,929	199,669	652,061	5,842,579


Loans segmented by geographical area

	2025
	Stage 1	Stage 2	Stage 3	Fair value	Total
Africa	965,922	231,971	97,156	153,482	1,448,531
Asia	1,021,476	100,733	13,838	63,977	1,200,024
Latin America & the Caribbean	1,296,037	94,240	53,447	131,263	1,574,987
Europe & Central Asia	1,423,411	23,335	18,410	160,171	1,625,327
Non - region specific	262,136	2,503	-	200,807	465,446
Balance at December 31	4,968,982	452,782	182,851	709,700	6,314,315


	2024
	Stage 1	Stage 2	Stage 3	Fair value	Total
Africa	899,900	363,592	72,411	190,949	1,526,852
Asia	921,067	113,888	12,644	66,095	1,113,694
Latin America & the Caribbean	1,357,619	40,021	72,107	116,291	1,586,038
Europe & Central Asia	994,880	58,481	42,507	226,466	1,322,334
Non - region specific	237,454	3,947	-	52,260	293,661
Balance at December 31	4,410,920	579,929	199,669	652,061	5,842,579

Loans to the private sector - other information
	2025	2024
Gross amount of loans to companies in which FMO also has equity investments	192,272	224,660
Gross amount of subordinated loans	378,282	331,146

The analysis of the changes in the gross carrying amounts and ECL allowances for loans to the private sector at AC are as follows:

Changes in Loans to the private sector at AC in 2025	Stage 1		Stage 2		Stage 3		Total
	Gross carrying amount	ECL allowance	Gross carrying amount	ECL allowance	Gross carrying amount	ECL allowance	Gross carrying amount	ECL allowance
Balance at January 1, 2025	4,441,643	-30,723	611,623	-31,694	343,435	-143,766	5,396,701	-206,183
Additions	2,281,739	-17,040	57,394	-1,796	16,403	-10,667	2,355,536	-29,503
Exposure derecognised or lapsed	-1,216,536	3,738	-144,756	3,202	-28,962	12,838	-1,390,254	19,778
Transfers to Stage 1	185,371	-9,177	-185,371	9,177	-	-	-	-
Transfers to Stage 2	-211,298	4,832	229,200	-8,243	-17,902	3,411	-	-
Transfers to Stage 3	-945	13	-44,338	2,253	45,283	-2,266	-	-
Modifications of financial assets (including derecognition)	1,003	-	2,533	-	430	-	3,966	-
Changes in risk profile (including changes in accounting estimates)	-	23,265	-	4,434	-	-16,466	-	11,233
Consolidation of group entities							-	-
Amounts written off/disposals	-	-	-	-	-11,110	11,110	-11,110	11,110
Changes in amortizable fees	-9,877	-	997	-	635	-	-8,245	-
Premium / discount	-43	-	-	-	-	-	-43	-
Changes in accrued income	14,789	-	-899	-	1,133	-	15,023	-
Foreign exchange adjustments	-495,032	3,260	-53,540	2,606	-33,985	13,297	-582,557	19,163
Balance at December 31, 2025	4,990,814	-21,832	472,843	-20,061	315,360	-132,509	5,779,017	-174,402

Changes in Loans to the private sector at AC in 2024	Stage 1		Stage 2		Stage 3		Total
	Gross carrying amount	ECL allowance	Gross carrying amount	ECL allowance	Gross carrying amount	ECL allowance	Gross carrying amount	ECL allowance
Balance at January 1, 2024	3,603,340	-26,306	508,602	-32,811	438,186	-195,288	4,550,128	-254,405
Additions	1,629,433	-11,276	36,858	-8,294	-	-	1,666,291	-19,570
Exposure derecognised or lapsed	-924,954	2,385	-92,211	7,658	-52,613	36,836	-1,069,778	46,879
Transfers to Stage 1	191,123	-15,336	-191,123	15,336	-	-	-	-
Transfers to Stage 2	-247,643	6,026	304,347	-10,986	-56,704	4,960	-	-
Transfers to Stage 3	-21,092	410	-16,480	2,078	37,572	-2,488	-	-
Modifications of financial assets (including derecognition)	-29,004	-	33,400	-	6,348	-	10,744	-
Changes in risk profile (including changes in accounting estimates)	-	15,272	-	-3,086	-	-29,329	-	-17,143
Consolidation of group entities	18,216	-211	-	-	2,996	-651	21,212	-862
Amounts written off/disposals	-	-	-	-	-53,283	53,283	-53,283	53,283
Changes in amortizable fees	-2,819	-	1,138	-	972	-	-709	-
Premium / discount	-26	-	-18	-	-	-	-44	-
Changes in accrued income	6,230	-	-1,905	-	-2,992	-	1,333	-
Foreign exchange adjustments	218,839	-1,687	29,015	-1,589	22,953	-11,089	270,807	-14,365
Balance at December 31, 2024	4,441,643	-30,723	611,623	-31,694	343,435	-143,766	5,396,701	-206,183

Total impairment charges on loans in the consolidated profit and loss account
	2025	2024
Additions	29,503	19,570
Exposure derecognized or matured / lapsed (excluding write - offs)	-19,778	-46,879
Changes in risk profile (including changes in accounting estimates)	-11,233	17,143
Recoveries (written off loans)	35,983	9,205
Other	4,106	18,394
Total at December 31	38,581	17,433

During 2025, ECL allowances reduced, which resulted in a net release to the profit and loss account. The reduction in ECL allowances is primarily the result of the reduction in the non-performing exposures, as also described in Credit risk section in the 'Risk Management' chapter.

The line item 'Other' mainly contains foreign exchange (FX) translation effects.

8. Impairment charges on financial assets, loan commitments and guarantees

FMO calculates ECL allowances for interest-bearing securities, loans to the private sector at AC (including off-balance loan commitments) and guarantees given to customers. The movement in ECL allowances for each of these items is presented in their relevant notes while the relates charges to the income statement are presented in the table below:

	2025	2024
Impairment charges on
Interest-bearing instruments	13	27
Loans	38,581	17,433
Loan commitments	-890	-164
Guarantees issued	1,046	8,884
Total impairment charges	38,750	26,180

The table below shows a sample of values of the IMF GDP forecasts used in each of the economic scenarios for the ECL calculations for 2024 and 2025. The upside, base, and downside scenarios calculations are derived from a simulation of forward-looking macro-economic developments in each country to which FMO has an exposure.

A new version of the macro-economic scenarios model was implemented in autumn 2025 which aligned FMO with market practice in determining forward-looking adjustments and made use of empirically observed characterstics of FMO's portfolio. Macro-economic scenarios were updated following the publication of the new macro-economic outlook data by the IMF in October 2025. The total impact of model changes and updates to the scenarios using the latest data, caused new point-in-time adjustments to probability of defaults in the impairment model, leading to a decrease in combined Stage-1 and Stage-2 impairment charges.

IMF GDP % Growth Forecasts (the figures are based on the latest forecast in October 2025)

	2025	2024
Turkey	2.71	3.01
India	6.20	7.02
Georgia	5.98	7.55
Argentina	5.50	-3.48
Nigeria	3.04	2.86
Uganda	6.12	5.88
Bangladesh	3.76	5.40
Ghana	4.03	3.12
Armenia	4.51	6.04
Costa Rica	3.44	4.00

The following table outlines the sensitivity of FMO's expected credit loss model to different parameters or inputs. The base case represents FMO's expected credit losses for the debt portfolio at amortized cost. Three assumptions are tested: changes in ratings across the portfolio, changes to the prepayment rate, and changes to the credit conversion factor. Changes in the underlying credit ratings of customers have the largest impact on model outcomes.

2025	Total unweighted amount per ECL scenario	Loans to the private Sector	Guarantees	Bonds and cash
ECL scenario:
PD rating 1 notch up (PD)	26,219	25,293	926	-
Prepayment rate decrease 50% (EAD)	1,387	1,325	62	-
Credit conversion rate increase 20% (EAD)	2,264	2,056	209	-

Base case	186,659	184,102	2,502	55

PD rating 1 notch down (PD)	-19,716	-19,004	-712	-
Prepayment rate increase 50% (EAD)	-1,295	-1,239	-55	-
Credit conversion rate decrease 20% (EAD)	-2,264	-2,056	-209	-

2024	Total unweighted amount per ECL scenario	Loans to the private Sector	Guarantees	Bonds and cash
ECL scenario:
PD rating 1 notch up (PD)	41,862	40,832	1,030	-
Prepayment rate decrease 50% (EAD)	2,032	2,013	19	-
Credit conversion rate increase 20% (EAD)	2,290	2,117	173	-

Base case	219,653	216,765	2,819	69

PD rating 1 notch down (PD)	-24,827	-24,172	-655	-
Prepayment rate increase 50% (EAD)	-1,868	-1,849	-19	-
Credit conversion rate decrease 20% (EAD)	-2,290	-2,117	-173	-

The total unweighted amount for the base scenario of €186 million (2024: €219 million) is an aggregation of €174 million (2024: €206 million) ECL allowances related to Loans to private sector (refer to Note 7), €2 million (2024: €3 million) ECL off balance items for financial guarantees (refer to Note 32), €10 million (2024: €10 million) ECL off balance for loan commitments (refer to Note 32).

Reference is made to the 'Accounting policies' chapter on macro-economic scenarios on PD estimates.

9. Equity investments

Equity investments in developing countries are for FMO’s account and risk. The movements in fair value of the equity investments are summarized in the following table. Equity investments of FMO are measured at FVPL or at FVOCI.

	Equity measured at FVOCI	Equity measured at FVPL	Total
Balance at January 1, 2025	201,287	2,355,626	2,556,913
Purchases and contributions	119	256,101	256,220
Conversion of loans to equity	-	1,325	1,325
Return of capital (including sales)	-	-301,626	-301,626
Net result from sales	-	-30,703	-30,703
Changes in fair value	22,046	-114,565	-92,519
Total balance at December 31, 2025	223,452	2,166,158	2,389,610

	Equity measured at FVOCI	Equity measured at FVPL	Total
Balance at January 1, 2024	167,074	2,193,771	2,360,845
Purchases and contributions	120	329,824	329,944
Conversion of loans to equity	-	289	289
Return of capital (including sales)	-	-306,890	-306,890
Net result from sales	-	-23,037	-23,037
Changes in fair value	34,093	161,669	195,762
Total balance at December 31, 2024	201,287	2,355,626	2,556,913

Equity investments segmented by sector
	2025	2024
Financial Institutions	796,014	754,872
Energy	332,896	329,313
Agribusiness, Food & Forestry	252,562	193,227
Multi-Sector Fund Investments	802,489	1,029,960
Diverse sectors	205,649	249,541
Balance at December 31	2,389,610	2,556,913

FMO has designated the investments shown in the following table as equity investments at FVOCI. The FVOCI designation was made because the investments are expected to be held for long-term strategic purposes.

	2025		2024
	Fair value	Dividend income	Fair value	Dividend income
The Currency Exchange Fund N.V.	214,313	-	191,215	-
Seed Capital	8,860	-	9,911	-
EDFI Management Company	279	-	161	-
Total at December 31	223,452	-	201,287	-

10. Investments in associates and joint ventures

Movements carrying amounts of the Associates and Joint ventures
	2025	2024
Balance at January 1	372,073	308,179
Purchases and contributions	24,990	7,338
Conversion from loans to equity	4,386	7,887
Return of capital (including sales)	-1,728	-
Share in net results	50,809	39,483
Dividends from associate/JV	-17,745	-13,751
Exchange rate differences	-46,182	22,936
Balance at December 31	386,603	372,072

All investments in associates and joint ventures are measured based on the equity accounting method. Cash dividends received from associates amount to €17.8 million (2024: €13.8 million), of which €11.2 million (2024: €10 million) was received from Arise B.V. and the residual amount was mainly received from SDG Loan Fund (2024: €0 million).

The following tables summarize FMO’s share in the total assets, liabilities, total income and total net profit/loss of the associates and segments the associates by sector.

	Carrying amount	Economic ownership %	Total assets	Total liabilities	Total income	Total profit/loss
Banyantree Growth Capital LLC	2,191	27%	2,191	-	-	-
Arise B.V.	285,118	27%	297,466	12,347	2,337	57,173
JCM Power Corporation	12,813	24%	12,813	-	-	-
BE C&I Solutions Holding Pte. Ltd.	33,956	25%	71,210	37,174	11,011	-2,639
Invest International B.V.	2,051	49%	2,151	85	-	-
Sustainable Asia Renewable Assets Pte. Ltd.	8,869	27%	8,869			-
Balance at December 31, 2025	344,998

	Carrying amount	Economic ownership %	Total assets	Total liabilities	Total income	Total profit/loss
Banyantree Growth Capital LLC	2,614	27%	-	-	-	-
Arise B.V.	284,723	27%	292,455	7,733	2,706	41,409
JCM Power Corporation	15,951	24%	15,951	-	-	-
BE C&I Solutions Holding Pte. Ltd.	37,251	25%	76,728	39,367	10,296	-4,446
Invest International B.V.	2,494	49%	2,512	37	52	21
Balance at December 31, 2024	343,033

	2025	2024
Financial Institutions	287,169	287,217
Energy	55,638	53,202
Multi-Sector Fund Investments	2,191	2,614
Balance at December 31	344,998	343,033

In 2016 FMO signed an agreement to set up an investment vehicle, Arise B.V., together with Norfund and Rabobank. This investment vehicle is set up to invest in African financial institutions. FMO's commitment amounts to US$266 million. As of December 31, 2025, our remaining commitment towards Arise B.V. amounts to US$10.5 million.

Arise B.V. is a private limited liability company incorporated in the Netherlands whose statutory seat is registered at Croeselaan 18, 3521 CB Utrecht, the Netherlands and is registered in the Dutch commercial register under number 64756394. FMO’s share and voting rights in Arise B.V. is 27 percent.

The following tables summarize FMO’s share in the total assets, liabilities, total income and total net profit/loss in joint ventures.

	Carrying amount	Economic ownership %	Total assets	Total liabilities	Total income	Total profit/loss
Climate Fund Managers B.V.	13,591	50%	25,090	11,499	24,257	8,360
SDG Loan Fund S.C.A SICAV-SIF	28,013	10%	28,013	-	-	-
Balance at December 31, 2025	41,604

	Carrying amount	Economic ownership %	Total assets	Total liabilities	Total income	Total profit/loss
Climate Fund Managers B.V.	10,368	50%	17,281	6,913	15,288	3,320
SDG Loan Fund S.C.A SICAV-SIF	18,672	10%	15,161	344	128	87
Balance at December 31, 2024	29,040

The SDG Loan Fund investment is treated as a joint venture in accordance with IAS 28 and IFRS 11 as FMO exercises joint control over the Fund, in cooperation with the other co-investors via the Fund investment committee and shareholders advisory committee. FMO also has rights to the net assets of the Fund. FMO's share of the capital of the Fund is 10 percent. FMO's total commitment to the Fund is US$111 million. During the current financial year FMO made an investment of EUR 14.8 million into the SDG Loan Fund S.C.A. SICAV SIF.

The SDG Loan Fund is an investment fund which co-invests with FMO in loans in emerging markets. It is incorporated under the laws of the Grand Duchy of Luxembourg, having its registered office at 6A, route de Trèves, L-2633 Senningerberg, Luxembourg, and registered under number B259701 with the Luxembourg Trade and Companies’ Register.

For material joint ventures, the above amounts of assets and liabilities include the following:

	SDG Loan Fund S.C.A SICAV SIF
	2025	2024
Cash and cash equivalents	43,457	35,845
Current financial liabilities (excluding trade and other payables and provisions)	-	-
Non-current financial liabilities (excluding trade and other payables and provisions)	-	-

For material joint ventures, the above profit and loss amounts include the following:

	SDG Loan Fund S.C.A SICAV SIF
	2025	2024
Interest income	13,131	6,773
interest expense	-	-
Income tax expense	-	-

Reconciliation of summarized financial information to carrying amount for material joint ventures:

	SDG Loan Fund S.C.A SICAV SIF
	2025	2024
Net assets of joint venture	304,585	153,357
Economic ownership	10%	10%
Carrying amount	28,842	18,671

FMO’s attributable carrying amount is determined by both its ownership percentage and the applicable waterfall structure. Consequently, the carrying amount does not always equate the 10 percent ownership interest.

11. Property, plant and equipment

Property, plant and equipment (PP&E) includes tangible assets that are used by FMO. These assets include buildings, office equipment and vehicles that are rented by FMO from third parties. These leases have been recognized on the statement of financial position following the implementation of IFRS 16.

Furthermore, PP&E includes furniture owned by FMO and costs related to leasehold improvements.

	Furniture	Leasehold improvement	Other	Right-of-use assets	Total

Cost at December 31, 2024	10,000	8,695	38	30,440	49,173
Accumulated amortization at December 31, 2024	-9,266	-3,933	-10	-19,599	-32,808
Balance at December 31, 2024	734	4,762	28	10,841	16,365

Carrying amount at January 1, 2025	734	4,762	28	10,841	16,365
Investments	57	1	-	19,185	19,243
Depreciation	-314	-853	-12	-3,014	-4,193
Disposals	-	-	-	-12	-12
Accumulated depreciation on disposals	-	-	-	-	-
Balance at December 31, 2025	477	3,910	16	27,000	31,403

Cost at December 31, 2025	10,057	8,696	38	49,613	68,404
Accumulated amortization at December 31, 2025	-9,580	-4,786	-22	-22,613	-37,001
Balance at December 31, 2025	477	3,910	16	27,000	31,403

Right-of-use assets consist of operational leases and include buildings, vehicles and office equipment.

On October 22th, 2025, FMO signed a new contract to extend the lease of its buildings until 2038. The modification resulted in a remeasurement of the lease liability and a corresponding adjustment to the right-of-use asset. The revised lease liability increased by €18 million, and the right-of-use asset was adjusted by the same amount.

	Buildings	Office equipment	Vehicles	Total right-of-use assets	Lease liabilities

Balance at January 1, 2024	12,033	151	1,308	13,492	13,732
Additions	-	279	289	568	568
Disposals	-	-	-3	-3	-3
Depreciation	-2,414	-139	-663	-3,216	-
Finance costs	-	-	-	-	97
Payments	-	-	-	-	-3,325
Balance at December 31, 2024	9,619	291	931	10,841	11,069
Additions	18,434	-	751	19,185	19,185
Disposals	-		-12	-12	-12
Depreciation	-2,347	-108	-559	-3,014	-
Finance costs	-	-	-	-	220
Payments	-	-	-	-	-3,186
Balance at December 31, 2025	25,706	183	1,111	27,000	27,276

Maturity breakdown of the leases
	< 1 year	1-5 years	>5 years	Total
Buildings	677	5,068	20,229	25,973
Office Equipment	59	110	16	185
Vehicles	410	708	-	1,118
Total at December 31, 2025	1,146	5,886	20,245	27,276


	< 1 year	1-5 years	>5 years	Total
Buildings	2,440	7,393	-	9,833
Office Equipment	111	167	18	296
Vehicles	527	413	-	940
Total at December 31, 2024	3,078	7,973	18	11,069

12. Intangible assets

Intangible assets include costs associated with identifiable and unique software products or internally developed software, controlled by FMO. For internally developed software, only costs related to the development phase are capitalized. Expenses related to the research phase are immediately recognized in the statement of profit or loss.

	ICT software	Internally developed software	Total

Cost at December 31, 2024	8,321	55,920	64,241
Accumulated amortization at December 31, 2024	-7,062	-30,734	-37,796
Balance at December 31, 2024	1,259	25,186	26,445

Carrying amount at January 1, 2025	1,259	25,186	26,445
Investments¹	634	18,256	18,890
Amortization	-663	-6,789	-7,452
Impairment/disposals	-	-	-
Accumulated depreciation on disposals	-	-	-
Balance at December 31, 2025	1,230	36,653	37,883

Cost at December 31, 2025	8,955	74,176	83,131
Accumulated amortization at December 31, 2025	-7,725	-37,523	-45,248
Balance at December 31, 2025	1,230	36,653	37,883

1 The main investments in 2025 relate to several strategic IT and digital transformation initiatives, including infrastructure modernization and enhancements to key business systems and processes. These projects support long‑term operational efficiency, regulatory compliance, and the development of scalable digital capabilities across the organization.

	ICT software	Internally developed software	Total

Cost at December 31, 2023	7,998	40,909	48,907
Accumulated amortization at December 31, 2023	-6,324	-27,258	-33,582
Balance at December 31, 2023	1,674	13,651	15,325

Carrying amount at January 1, 2024	1,674	13,651	15,325
Investments	323	16,576	16,899
Amortization	-738	-4,326	-5,064
Impairment/disposals	-	-1,565	-1,565
Accumulated depreciation on disposals	-	850	850
Balance at December 31, 2024	1,259	25,186	26,445

Cost at December 31, 2024	8,321	55,920	64,241
Accumulated amortization at December 31, 2024	-7,062	-30,734	-37,796
Balance at December 31, 2024	1,259	25,186	26,445

Impairment relates to software that is not in use anymore.