Oesterreichische Development Bank AG (OEEB) closes the 2024 financial year with a very satisfactory result and numerous partial successes in achieving its strategic goals. On behalf of the Federal Ministry of Finance (BMF), the special bank provided loans and participations of around EUR 305 million for selected, private projects in developing and emerging countries, which make an important contribution to the developmental and economic strengthening of the private sector. In accordance with its strategy, the OEEB 2024 has once again succeeded in successfully implementing significant projects in its strategic areas of green finance, gender equality, private infrastructure and industry, as well as strengthening small, small and medium-sized companies and mobilizing other capital from private investors. The overall portfolio amounted to 1.74 billion euros at the end of the year. The OEEB provided more than 602,000 euros from its own resources for measures to strengthen development policy effects.
“The past financial year is a very satisfactory for us. A new business volume of over 290 million euros in credit financing and around 15 million euros in the area of equity investments and the African Austrian SME Investment Facility+ is a considerable performance. measured developmental effects and economic sustainability. developed countries (Least Developed Countries) and a total of 24 percent in Africa, which represents a significant increase compared to the previous year. Another 38 percent of projects that make a contribution to climate protection accounted for. Likewise, the last investments in an impact roof fund, a cooperation project with the Bank Gutmann, which has existed since 2019, were successfully finalized and another Austrian partner was put up with a climate impact roof fund about which private means of institutional investors are mobilized for the implementation of climate-related projects, ”said the attendant Sabine Gaber responsible.
“Especially in uncertain times, development banks such as the OEEEB have a very important anti-cyclical role. We provide the capital, which is urgently needed for coping with crises, and thus contribute to cushioning economic downs and strengthening the crisis resilience of our partner countries,” said board member Steffen Suhany, who has been responsible for the market sequence since June 2024. The environment for the financing of projects remains challenging. Regional conflicts such as those in Ukraine and in the Gaza strip further tighten the already difficult geopolitical and geo -economic environment. At the same time, the consequences of climate change increase the pressure to adapt the economic structures faster to the changing framework conditions. “We are proud that we were able to achieve this good result with prudent risk management despite the challenging environment,” emphasizes Suhany.
Projects with responsibility
In the newly launched strategy cycle 2024-2028, OEEB has set itself the goal of strengthening its commitment to Least Developed Countries and Africa. On average, 20 percent of the new business in LDCs and 25 percent in Africa are to be completed. In the new strategy, climate finance also focuses even more. An average of 50 percent of the new business of the 5-year strategy cycle is to be eliminated on climate-calculable projects.
Last year, for example, loans for companies in the textile and clothing sector in Bangladesh, for an agricultural raw material trade company that support small farmers in Africa, were awarded for microfinance institutions with a focus on financing for women in India and Ecuador and for production companies in Eastern Europe. In addition, the OEEEB took part in a climate fund in Africa for the BMF and supported the production of plywood panels for furniture production in Nigeria from the BMF. In 2024, the Global Gender-Smart Fund also started to start, which resulted from a long-standing partner fund of the OEEB and was structured by the OEEB. In addition to financial resources, the OEEB also provided technical assistance funds, which is intended to strengthen the developmental effect of the investments.
Business result
The financial year 2024 concludes with an annual surplus after taxes in the amount of EUR 7.2 million (2023: 4.2 million euros) and an annual profit after reserves of EUR 5.3 million (2023: 3.3 million euros). The operating result was EUR 9.2 million compared to EUR 5.9 million in the previous year.
The annual report of the OEEB is online at https://www.oe-eb.at/publikationen available.