FMO launches open access tool for ESG management

FMO launches open access tool for ESG management

October 4, 2023

Risk Management
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New tool can generate overview of potential ESG risks and suggested practical mitigation measures.

FMO, the Dutch entrepreneurial development bank, announced today the launch of its ready-to-use ESG Tool, tailor-made for financial institutions. The web-based Environmental & Social Management System (ESMS) tool is accessible to anyone. ‘Through our investments, we aim to enable entrepreneurs for sustainable and inclusive growth’, FMO said today.

The complete tool comprises of three modules. The first module offer support in conducting ESG risk assessments entirely via a web-based application. ‘All the user needs to do is input a couple of transaction data points and let the tool generate an overview of potential ESG risks and suggested practical mitigation measures geared to the sector and location in support of own risk management.’ The information is stored locally and is not saved in the cloud, which means the data is not accessible for anyone except for the user.

The second module provides assistance with developing and establishing an external grievance mechanism to process and manage risks related to grievances from external stakeholders. And finally, the third module provides a self-assessment to gauge the progress in meeting the UN Principles. This module will also assist in providing guidance and a deeper understanding of the practical next steps involved.

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