AFD - 2019 Universal registration document

PRESENTATION OF AFD

Financing activities on its own behalf

1.4 Financing activities on its own behalf

1

AFD’s lending and grant activities are financed by different kinds of resources. For activities carried out on its own behalf, AFD uses three main types of financing: Budgetary resources P funds for foreign country and French Overseas Departments and Collectivities loan subsidies (€197M of credit appropriations received in 2019); P subsidies received from the State for project grant, French Overseas Departments and Collectivities and NGO activities (€380M of credit appropriations received in 2019). Loans from the State (RCS) Up to 2017 inclusive, AFD contracted loans with the State for a period of 30 Ǿ years including 10 Ǿ years deferred at 0.25%. Apart from the liquidity that they provide and their eligibility for Tier Ǿ 2 of the regulatory capital, these resources contribute to subsidising the outstandings that justify the use of State rates: the financial advantage in comparison with market resources is thus measured and injected into operations making use of subsidies. In 2019, AFD received €240M of previously contracted RCS Ǿ funds, which are backed by highly concessional loans.

Market borrowings AFD’s bond issues totalled €6,439M in 2019. AFD has made five bond issuances in the form of public issues on the euro and US dollar markets for a total of €5,785M: P $2,000M for 3 Ǿ years (equivalent to €1,781.7M; maturity January Ǿ 2022); P a tap issue with order book opening for €700M for 5.2 Ǿ years (maturity April Ǿ 2024); P $650M for 2 Ǿ years (equivalent to €583M; maturity June Ǿ 2021);

P €2,000M for 10 Ǿ years (maturity July Ǿ 2029); P €750M for 15.5 Ǿ years (maturity May Ǿ 2035). AFD has also undertaken:

P 6 tap issues without order book opening for a total of €380M; P 10 private placements on the euro, US dollar and Australian dollar markets for a total of €274M;

Based on the 2019 issues, the nominal burden of AFD debt was €35.13bn as of 31 Ǿ December Ǿ 2019. The breakdown by maturity date is as follows:

4500.00 5000.00 In M€

ƪƯƣƠƭƮ

4000.00

ưƮƟ

3500.00

Ơưƭ

3000.00

2500.00

2000.00

1500.00

1000.00

500.00

0

2020

2021

2022

2023

2024

2025

2026

2027

2028

2029

2031

2032

2033

2034

2035

2037

2038

2043

2044

2047

2048

2049

2052

2053

2054

15

UNIVERSAL REGISTRATION DOCUMENT 2019