PARIS, 5 June 2025 – European Development Finance Institutions (DFIs) are on a journey without maps, marked by tumult and geopolitical shifts affecting them. But opportunities abound in their future. 

That was the conclusion when more than 140 people from the European DFIs – the EDFI community – gathered in Paris on 21 and 22 May for the two-day annual meetings, generously hosted by French EDFI member Proparco and its shareholder, Agence Française de Développement. Attendees reconfirmed that DFIs are driven to maintain efforts towards the development agenda amidst external pressures and a shifting political landscape. 

The event included EDFI Affiliate Partners, the U.S. International Development Finance Corporation and FinDev Canada, who joined attendees to look back at the successes of the EDFI Association during the past 12 months. During that time, DFIs have been resilient and growing, ready to continue their support to clients in emerging markets, and also ready to scale up and connect Europe to emerging markets through their development mandate, expertise, and network. 

A New Journey for DFIs 

The world is undergoing profound transformation, with intensified geopolitical competition and global budgetary constraints, where economic relations between countries and continents are becoming increasingly transactional, more fragmented, and too often, short-sighted. 

AFD CEO Remy Rioux and Carsten Staur, Chairman of the OECD DAC, both acknowledged that the world of overseas development aid is under severe threat. Cuts to ODA, an anchor for DFIs, are having dramatic consequences. To address the challenge, there is a need for a new paradigm to drive future development cooperation. 

European DFIs Form a Bridge Between Europe and Africa 

Europe’s DFIs can help bridge Europe and regions like Africa, where development needs are swelling. The challenge rests on the current macro-outlook for developing countries, which are heavily impacted by ongoing geopolitical turmoil and recent policy shifts by governments, according to an assessment by AFD Deputy Director Amaury Mulliez. Adding to Mulliez’s assessment, EBRD President Odile Renaud-Basso shared the multilateral bank’s ambitions in Africa and partnerships with European DFIs, adding that countries in Africa face important challenges in addition to geopolitical ones: climate shocks, mounting debt levels, and needs for sustainable development and job creation, among others. She remained upbeat about multilateral banks and DFIs partnering, noting: “There is a lot of potential in the region and challenges. We see hope to work together with DFIs to address the challenges ahead. Partnership is more important than ever.” 

Proparco CEO Françoise Lombard described a world undergoing profound transformation. Decisive action is more urgent than ever to tackle global challenges such as climate change, biodiversity loss, rising inequality, and the creation of jobs for the millions of young people entering the labour force. 

Lombard said: “Amid this turbulence and these challenges lie both a shared opportunity and a shared responsibility: to forge a more ambitious, strategic, and balanced partnership between Africa and Europe.” 

Attendees were sanguine on what’s ahead for Africa, including the demographic story. British International Investment CEO Leslie Maasdorp noted that the population in Africa will double from 1.3 billion to 2.4 billion by mid century. That prospect has helped drive a move away from a donor-recipient relationship to something deeper. 

He said: “DFIs can add the most value in the early stage of development. We have to work together, such as through partnerships like ARIA. We serve as a long-term partner.” 

Strategic Alignment of DFIs and Their Shareholders 

The EDFI Annual Meeting invited public shareholders of the European DFIs, who first met separately, followed by an exchange with DFIs’ chief executives. Both groups reconfirmed their strategic alignment on investing for development impact in the world’s poorest places, and on creating and developing the conditions for thriving, job-producing private firms. 

Appointments to the EDFI Board of Directors 

The European DFIs also appointed the Board of Directors of their association, consisting of CEOs of member institutions and a Chairperson serving in an individual capacity. Two new directors were appointed: Leslie Maasdorp, CEO, British International Investment, and Ángela Pérez, Chairperson and CEO of Cofides. Outgoing board members Antonella Baldino, Chief International Development Finance Officer, CDP, and Roland Siller, CEO, DEG, were thanked for their service on the Board. 

The EDFI Board for the coming year comprises the following members: Luuk Zonneveld, Board Chair; Michael Jongeneel, CEO, FMO; Tellef Thorleifsson, CEO, Norfund; Sabine Gaber, OeEB; along with Maasdorp and Pérez. 

A promising horizon awaits the development finance community, this despite the current budget cuts in traditional ODA, closing speaker CEO Tellef Thorleifsson. He concluded: “I am optimistic about the future of the DFIs. We invest, we provide loans, we are profitable, we recycle our funds, we create jobs and we drive impact. Even when speaking to the most ardent ODA-sceptics, they like our story.” 

The next EDFI Annual Meeting with shareholders and partners will take place in May 2026 in Switzerland.

Further reading: European development finance institutions: Strategic players in changing times

The latest issue of Proparco’s Private Sector and Development magazine highlights the levers for action of European development finance institutions, who invest over €12 billion a year in the private sector in emerging countries. This issue was prepared in collaboration with the association of European Development Finance Institutions (EDFI).

Notes to Editors 

About EDFI: The Association of European Development Finance Institutions, or EDFI, was established in 1992 to support and promote the work of bilateral Development Finance Institutions (DFIs). With a combined portfolio of more than €53 billion, EDFI’s 15 member institutions share a vision of a world where the private sector offers people in low- and middle-income countries opportunities for decent work and improved lives, and where private investment flows are aligned with the Sustainable Development Goals and the Paris Climate Agreement. EDFI’s mission is to promote the joint interests of its members, inform policy, and drive innovation in industry standards. 

EDFI membership: BII (United Kingdom), BIO (Belgium), Cofides (Spain), DEG (Germany), Finnfund (Finland), FMO (The Netherlands), Impact Fund Denmark (Denmark), Norfund (Norway), OeEB (Austria), Proparco (France), SIFEM (Switzerland), Simest and CDP Development Finance (Italy), SOFID (Portugal), Swedfund (Sweden).