AFD_REGISTRATION_DOCUMENT_2017

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AFD’S ANNUAL FINANCIAL STATEMENTS Statutory auditors’ report on the annual financial statements

7.5 STATUTORY AUDITORS’ REPORT ON THE ANNUAL FINANCIAL STATEMENTS This is a free English translation of the Statutory Auditors’ report issued in French and is provided solely for the convenience of English- speaking readers. This report should be read in conjunction with, and construed in accordance with, French law and professional standards applicable in France. Year ended 31 December 2017 To the Board of Directors of Agence Française de Développement, Opinion In compliance with the assignment entrusted to us by your Board of Directors, we have audited the annual financial statements of Agence Française de Développement for the year ended 31 December 2017, as attached to this report. In our opinion, the annual financial statements give a true and fair view of the assets and liabilities and of the financial position of the company at 31 December 2016 and of the results of its operations for the year then ended in accordance with French accounting principles. The opinion expressed above is consistent with the content of our report to the Audit Committee. Basis of opinion Auditing framework We conducted our audit in accordance with the professional standards applicable in France. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion. Our responsibilities pursuant to those standards are set out in the «Responsibilities of the statutory auditors in the auditing of the annual financial statements» section of this report. Independence We carried out our audit mission in accordance with the rules of independence applicable to us from 1 January 2017 to the date of our report, and in particular we did not provide services prohibited by Article 5, paragraph 1 of Regulation (EU) No 537/2014 or the Code of Ethics for the profession of statutory auditor. In addition, the services other than the certification of the financial statements that we provided during the financial year to your company and the entities it controls that are not mentioned in the management report or the notes to the annual financial statements are the following: P Certification of information to be sent to the ECB as part of the withdrawal of AFD approval P Issuance of a comfort letter P Certification of KPMG S.A. in connection with the issue of the «Climate Bond» on 17 September 2014 P KPMG S.A. mission with respect to the audit of the documentation of the expenses incurred for a project in Mozambique and mission with respect to the closure audit for the same project P KPMG S.A. report on the consolidated social, environmental and societal information contained in the AFD management report P Report by KPMG S.A., the statutory auditor of FISEA S.A.S., on the issuance of preference shares with preferential subscription rights Justification of our assessments - Key points of the audit Pursuant to Articles L. 823-9 and R.823-7 of the French Commercial Code relating to the justification of our assessments, we are required to bring to your attention the key points of the audit relating to the risks of material misstatement, which, in our professional judgement, were greatest for the audit of the annual financial statements for the year, as well as the responses we provided to those risks. The assessments thus made fall within the context of the audit of the annual financial statements taken as a whole and the formation of our opinion expressed above. We do not express an opinion on items in those annual financial statements in isolation. Identification and assessment of credit risk Risks identified The Agence Française de Développement is exposed to credit and counterparty risks. These risks are defined as the probability that a debtor will be unable to handle the repayment of the financing granted. A default by a counterparty can have a material impact on the results of AFD. AFD is creating provisions to cover these risks. They are estimated on a collective or individual basis, taking into account the value of guarantees held.

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REGISTRATION DOCUMENT 2017

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