17 Aug 2022 14:03

Dutch FMO values its Ukraine portfolio at 164.1 mln euros less than before Feb 2022

MOSCOW. Aug 17 (Interfax) - The Dutch Entrepreneurial Development Bank (FMO) has valued its portfolio in Ukraine at 164.1 million euros less than before February 2022, including the direct investment portfolio at 67.6 million euros less and the loan portfolio at 96.5 million euros less, Ukrainian media said, citing the bank's 2022 interim report.

"We will continue to monitor economic developments and mitigate risks when necessary. We believe that global equity markets will remain very volatile in the second half of the year," FMO said in its report.

The bank also believes that the Ukraine crisis "could lead to further impairments to our debt and equity portfolios."

FMO has been extending assistance to Ukrainian refugees since February 24, including by providing small amounts of financing to Gazelle Finance, which operates in Georgia and Armenia and will launch a project to help Ukraine's MSB to relocate Ukrainian businesses to Georgia and to reopen them there.

In its annual report, FMO initially estimated risks in Ukraine at around 200 million euros with 14 customers, adding that it had been providing financing mainly to agricultural companies and the renewable energy sector.

FMO said in early June that the private equity portfolio consisting of investments in Ukraine was valued at approximately 70 million euros less than before February 2022. In addition, FMO took impairments of approximately 90 million euros on loans to customers in Ukraine.

FMO's net profit for the first half of 2022 amounted to 102 million euros, down from 198 million euros in the first half of 2021.