Netherlands Development Finance Company FMO

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FMO is a bilateral development bank. It was created in 1970 by the Dutch government, commercial banks and the labour union to make investments in private sector projects in developing countries and emerging markets. Although 51% of the shares is held by the Dutch government, FMO operates as a commercial company. Its mandate is to provide long term capital for projects in countries that 'regular' investors do not feel comfortable investing in yet. Furthermore, FMO has a strict policy on maximizing development impact: a methodology which makes sure that FMO's return on investment is not just financial, but also has positive environmental and social aspects.

FMO also manages funds for the Dutch Ministry of Foreign Affairs to maximise the development impact of private sector development. For instance, the Capacity Development Fund provides funding for training project of staff.