AFD - 2018 Registration document

A WORD FROM THE CEO

A word from the CEO

of the technical cooperation operator Expertise France, (iii) and the deployment of the 17 regional departments tasked with upholding greater efficiency throughout the AFD Group network. To carry through these initiatives and finance its growth, AFD Group is backed by a robust financial model and the support of the State, which has granted it additional public budget resources to finance its projects and grants, or to improve counterparty loan conditions. AFD raised €6.5 billion through bonds issued on the markets in 2018 and, after the State, is the top French public issuer of senior debt. This amount was subscribed by a diversified investor base both inside and outside France. AFD also consolidated its position on the Green Bonds market with its third Climate Bond ratio issue in November 2018. The Group's solvency position is particularly strong with a solvency ratio of 18.37% at the end of 2018. 2018 saw AFD Group well placed to speed up its growth and transformation to further development in 2019, with a commitments target of €14 billion backed by strong engagement from teams and renewed support from the State. Rémy Rioux Chief Executive Officer “ The Group's teams were fully engaged in embracing an ambitious development policy carried by the highest level of government ”

2018 was a year of significant growth and transformation for AFD Group with commitments reaching €11.4 billion, up by €1 billion on the previous financial year. In the course of the year, the Group committed to financing 846 development projects in different ways, using instruments such as loans, grants, guarantees and equity investments. AFD Group met all the strategic priorities in the 2018-2020 Strategic Orientations Plan: (i) decisive action on climate change with 100% of projects financed consistent with the Paris Agreement, (ii) an AFD Group 100% social link by fighting inequality, strengthening regional cohesion, promoting access to education and actual gender equality, (iii) a firm commitment in vulnerable and conflict zones as part of the three Ds initiative

- "Diplomacy, Defence, Development" - embodied in particular by the Sahel (over €2 billion in projects financed since 2013), and (iv) priority given to non-sovereign, and (v) development of the partnership reflex. Furthermore, 50% of the Group’s total commitments were made in Africa. The Group's teams were fully engaged in embracing an ambitious development policy carried by the highest level of government. This collective success is shared by 2,650 AFD and Proparco employees committed to changing the organisation and working methods. This transformation is taking shape specifically with (i) the streamlining of  the Group's desks, particularly those in the private sector, which is now handled by its Proparco subsidiary since 1 January 2019, (ii) a view to expanding the scope of AFD intervention through the forthcoming integration

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REGISTRATION DOCUMENT 2018