Highlights

MASSIF in 2024 devoted significant attention to being able to continue to support its clients, end beneficiaries, and micro, small and medium-sized enterprises in the future and to play its part in FMO’s Strategy 2030. For example, by advancing innovative transactions, investing in fragile countries as well as ‘Green label’ transactions which is also in line with the ‘best effort’ ambition that was communicated to the Ministry of Foreign Affairs in 2023.

Local Currency Bond for Société Générale in Madagascar

MASSIF funded FMO’s participation as an anchor investor in the sustainability-linked bond issuance of Société Générale Madagascar, which is aligned with the ICMA Green Bond Principles. The $10 million MASSIF financing is earmarked exclusively for renewable energy use of proceeds. With this transaction MASSIF contributes to local (capital) market development as well as the Green agenda in Madagascar, a Low Income, Fragile and Unbanked country as per the country list in the MASSIF The Next Frontier Strategy.

Green Label Equity investment in Ecofy in India

MASSIF and Building Prospects invested jointly in Accretive Cleantech Finance Private Limited (“Ecofy”) investing INR 450 million each. Ecofy is a non-banking financial institution set up in India in 2022. It aims to finance the green transition by originating loans to ‘green’ sectors including Retail EV’s, rooftop solar and SME loans for improving energy efficiency. Ecofy is active across India targeting climate positive segments/businesses.

Continued commitment to FMO Ventures

Following on to the existing Ventures Program (“FVP 1.0”) for which MASSIF has provided part of the funding, Ventures 2.0 (FVP2), the new FMO Ventures Program, has gone live in October 2024 denoting another $200 million program to be invested over 5 years in early-stage startup or scale-up companies with a tech component in the sectors of FinTech, AgriTech and CleanTech. MASSIF has agreed to a €20 million contribution overall to FVP2, expected to be deployed. Access to Energy Fund and Building Prospects also contribute to FVP2 funding.

Market Creation Platform

In October 2023, the Dutch Ministry of Foreign Affairs allocated €22 million to MASSIF for market creation initiative, in line with FMO's strategy. By December 31, 2024, €3.2 million had been committed to three projects, with several disbursements made. Throughout the reporting period, significant progress was achieved in intervention origination and execution, program management, and the design of the market creation platform.

Financial performance

For the year ending 31 December 2024, MASSIF's loss was primarily driven by significant revaluation losses on equity investments and increased capacity development expenses. As a result, the fund reported a loss of €22.8 million. On a positive note, the net interest income showed an improvement compared to the previous year, and there was a positive net result on impairments.