KfW Treasury

🌐 KfW reduces funding needs to €80bn and strengthens its role as a driving force for digital capital market innovations 🌐 In H1 2024, we raised around €55bn in int'l DCM to fund our business activities. Following a review of our funding requirements, we have reduced our funding target for 2024 from €90-95bn to €80bn. This adjustment is attributed primarily to lower-than-expected funding requirements from the 🇩🇪 Federal Government’s mandated transactions and the demand-dampening effect of the EU reference rate, which according to state aid legislation is a minimum interest rate, likewise persists for parts of domestic lending. 💰 The majority of the funds we raised were in euro, with strategically important USD benchmark bonds also playing a significant role. Additionally, we issued bonds in five other currencies, including British pounds and Australian dollars, contributing to our funding mix.   💚 Our green bond programme continues to thrive with a total issue volume of around €7.2bn year-to-date. We continue to expect a green bond volume of €10-13bn for 2024 overall. We are actively testing financial market innovations to modernize and digitalize our funding activities. The successful implementation of digital innovations, including the issuance of digital securities and an inaugural blockchain-based digital bond, demonstrate our commitment to driving digitalization in the bond market. Looking ahead, we will continue our digitalization initiatives and plan to issue another crypto bond, focusing on the digitalization of cash flows and the settlement of securities in central bank money. 💬 Stefan B. Wintels, our CEO, emphasized: "With our digital bonds, we are taking an important step forward. We also want to encourage other market participants to make transactions of this type. KfW sees itself as a driving force in this field, and we will continue to focus on realising our digitalisation projects in the second half of the year." Today's press release see comments below 👇 #GreenBonds #Digitalization #CapitalMarkets #DebtCapitalMarkets #FixedIncome #SustainableFinance #Funding #SafeHaven #SSA #DigitalTransformation

🌐 KfW is at the forefront of #capitalmarkets innovation with its latest digital issuance test case.   Tim Armbruster, the Frankfurt-based treasurer, provides valuable insights into KfW's digital evolution and the impact of its first blockchain-based digital bond issue. Dive into the full article to discover KfW's journey in capital markets digitalization. The article was initially published on the KangaNews website.   #DigitalIssuance #CapitalMarketsInnovation #BlockchainTechnology #FinancialIndustryLeadership

🤝 Cultivating Strong Partnerships with our #DealerBanks 🤝 This week, we had the honor of hosting our annual signature ‘benchmark dinner’ event with our esteemed dealer banks in Frankfurt. This gathering serves as a testament to the enduring relationships we have fostered over the years, and it provides a platform to express our sincere appreciation for their ongoing collaboration and support. The evening was marked by stimulating conversations as we came together to celebrate our successful partnership in #capitalmarkets, particularly in relation to KfW’s benchmark programs. Our benchmark programs in euros and US dollars constitute a significant portion, approximately two-thirds, of our funding mix. They form the sturdy foundation of our funding strategy, which aims to raise €80bn for 2024. YTD, we have already raised approx. €59bn, positioning us strongly for the remainder of the year.   Our Chief Information Officer and Chief Operating Officer Melanie Kehr delivered an insightful keynote speech on digital transformation within KfW and our treasury, alongside our Group Treasurer Tim Armbruster who graciously co-hosted this delightful occasion. The topic of 'digital transformation' was no coincidence, as 'walking the talk' in terms of digitization is our capital markets motto in 2024. This allowed us to successfully implement several digital capital market innovations in the last few months - thanks to the valuable support from our esteemed banking and business partners. A special highlight of the evening was the collective viewing of the exhilarating ⚽ UEFA #Euro2024 football semi-final match between England and the Netherlands. It was not the team that moved better 'naar links, naar rechts' [to the left, to the right], but the team that was more 'on fire' that prevailed. Perhaps this figuratively symbolises our excellent cooperation with our dealer banks. 💪 We remain steadfast in our commitment to nurturing our vital partnerships with our dealer banks, and eagerly anticipate continued success together. Here's to the resilience of our collaboration! 🥂 PS. If you made it this far, please 🔔 subscribe to our profile.   #StrongPartnerships #FixedIncome #DebtCapitalMarkets #SSA 📸 Alex Habermehl / KfW Barclays Investment Bank | BMO Capital Markets | BNP Paribas CIB | Bank of America Merrill Lynch | Citi | Commerzbank AG | Crédit Agricole CIB | Danske Bank | DekaBank Deutsche Girozentrale | Deutsche Bank Investment Bank | DZ BANK AG | Goldman Sachs Investment Banking | HSBC Global Banking and Markets | J.P. Morgan | LBBW | Bankhaus Metzler | Morgan Stanley | NatWest Markets Plc | Nomura | RBC Capital Markets | Santander Corporate & Investment Banking | Societe Generale Corporate and Investment Banking - SGCIB | TD Securities | UniCredit | Union Investment

🌏 Today we celebrate the 25th anniversary of our Australian Kangaroo bond programme 💵 🥳 📌 On July 7, 1999, KfW issued its first Kangaroo bond – a 6yr outing in the size of A$500m with a 6.25% coupon. This was the beginning of our success story in the Australian capital markets. Since then, we have issued Kangaroo bonds with a total volume of more than A$68bn and established ourselves as one of the largest borrowers in the antipodean bond markets. Our current outstanding volume of more than A$18bn makes us the largest foreign issuer in the Australian capital markets. As a result, the “Aussie Dollar” plays an important role in KfW’s diversified funding strategy and is our no.4 currency! We are particularly proud of the broad investor base that we have been able to build up over time. A close relationship with our investors is key for a successful market presence. When we started issuing green bonds, we also felt the responsibility to help create an Australian dollar green bond market. It was exciting to see that our latest A$1.5bn Kangaroo green bond attracted a record demand and underscored the evolution of the market. Lars Ainsley, Senior Funding Manager at KfW, emphasizes: “I’m happy that we managed to rank among the largest Kangaroo issuers for such a long time and even in challenging market conditions. Reaching the top can be exhausting but staying there requires stamina. Over the years, we have adjusted our approach to market developments where necessary in order to provide our investors with large and liquid bonds at all times.” We are grateful for the support and trust of our investors and partners throughout the years, and we look forward to many more years of fruitful collaboration in the Australian SSA market. 🤝 👉️ Check out our investor presentation for more information about our A$ issuances: https://lnkd.in/e9JJcMzD #Australian #CapitalMarkets #FixedIncome #AustralianDollar #GreenBonds

📣 KfW issues 𝐟𝐢𝐫𝐬𝐭 𝐬𝐲𝐧𝐝𝐢𝐜𝐚𝐭𝐞𝐝 𝐛𝐥𝐨𝐜𝐤𝐜𝐡𝐚𝐢𝐧-𝐛𝐚𝐬𝐞𝐝 𝐝𝐢𝐠𝐢𝐭𝐚𝐥 𝐛𝐨𝐧𝐝 in Germany 🇩🇪 Today marks the settlement of KfW's first blockchain-based digital bond under the German Electronic Securities Act #eWpG, representing the first syndicated blockchain-based digital bond in Germany. The €100 million KfW bond, due in December 2025, serves as a pilot transaction. It has garnered strong investor interest, demonstrating investors' enthusiasm for the digitalization of capital market transactions. Our Treasurer Tim Armbruster underscored the significance of investor engagement and the potential for scaling opportunities in our digital learning journey. Union Investment, as a key anchor investor, and Immutable Insight as a valuable catalyst and advisor have been actively involved in supporting the transaction in a collaborative manner from the outset. Kudos to Christoph Hock and Katharina Gehra and their respective teams! 🙏 The transaction was facilitated by a bookrunner consortium comprising DZ BANK AG, Deutsche Bank, LBBW, and Bankhaus Metzler, collectively representing the four pillars of the German banking system. 💪 While this transaction focused on the issuance of the crypto security, investor engagement and the testing of new project partner roles, such as that of the crypto securities registrar, in this case Cashlink, payments continue to be processed in the traditional way using the established payment systems. However, we are already planning the next steps to similarly test the DLT-based processing of payment flows (in central bank money). Stay tuned! Press release and a compilation of lessons learned see comments below 👇 PS. If you made it this far, please 🔔 subscribe to our profile & ♻ share with your network. #blockchain #DigitalBonds #CapitalMarkets #innovation #CryptoSecurities #ElectronicSecurities #TokenizedBonds #tokenisation #DLT #digitization #DigitalAssets | Gaetano Panno | Friedrich Luithlen | Mark Lewellen | Deutsche Bank Investment Bank | Daniel Wrobel | Hendrik König

🛵 Kickstarting Central Register Securities for KfW 🛵 Today marks the settlement of KfW’s inaugural benchmark-sized bond issued as a central register security through Clearstream's D7 digital securities platform: the KfW EUR Benchmark Bond, totaling €4 billion with a 2.75% cupon, due in October 2027. This achievement represents a significant milestone for the German capital market, signifying a leap forward in transparency and efficiency. It also underscores our commitment as one of the largest and most active bond issuers to driving innovation in the financial industry. Our goal is to swiftly transition issuances of central register securities to regular operations, made possible by the dedicated efforts of numerous KfW colleagues and the excellent collaboration with #TeamClearstream, the post-trade arm of Deutsche Börse. 🤝 Among our KfW team members is Normen Günther, a passionate collector and enthusiast of classic scooters. Beyond his love for scooters, Normen is deeply committed to driving innovations in #capitalmarkets. Since the German Electronic Securities Act permitted central register securities, Normen and colleagues have been tirelessly dedicated to this endeavor. Approximately 18 months ago, we conducted the first pilot transaction of this kind, and now we are kickstarting central register securities for regular operations. 🚀 For more information on the D7 transaction, please refer to our press release 👉️ https://lnkd.in/gzRaZ9xS #eWpG #DigitalBonds #DigitalTransformation #ElectronicSecurities #DigitalisingCapitalMarkets #D7

⚽️ Trade hard, play hard! ⚽️ Unter diesem Motto trat unser Fußball-#TeamTreasury beim gestrigen KfW internen Soccer-Cup an. Auch wenn die Prozentzahlen zeigen, dass unser Weg dieses Mal nicht nur nach oben führte, stimmte die Gesamtrichtung und der Teamgeist war überragend. Darum geht es letztlich: Gemeinsam im Team arbeiten, sich gegenseitig unterstützen, auf ein Ziel fokussieren und vor allem Spaß dabei zu haben. Ein Hoch auf unsere Treasury-Kolleginnen und -Kollegen für diesen tollen Einsatz! 🙌 Diesen Spirit (und etwas mehr Erfolg 😉) wünschen wir auch heute Abend dem DFB-Team im Achtelfinale bei der #Euro24. Viel Glück! ⚽️🏆 #Teamwork #SoccerCup #DFBTeam #Euro2024 #GERDEN

Fresh off the Ukraine Recovery Conference in Berlin, where KfW played a pivotal role, we are now focused on bringing the signed contracts and declarations of intent to life. Last week, KfW Treasury hosted a workshop with a delegation from the Ukrainian National securities and stock market comission (NSSMC), delving into the realm of crypto-securities, blockchain-based bonds, and the associated opportunities and challenges. Our Treasurer, Tim Armbruster, along with our experts Bert Staufenbiel and Tim Meirer (photos on the right, from top to bottom), led a lively discussion on the topic. The workshop was part of a multi-day delegation visit by Ukrainian financial experts, as part of the newly formed administrative partnership between the German Federal Financial Supervisory Authority, BaFin, and the NSSMC. For more details on the collaboration, click here 👉️ https://lnkd.in/ediXTJzx A heartfelt thank you to Dirk Weinmann, the head of delegation at BaFin. #TogetherForUkraine

Celebrating success at the GlobalCapital Bond Awards 2024! 🎉 KfW has once again been recognized as a leader in the SSA market, receiving prestigious awards yesterday in London, including: 🌟 Most Impressive Agency ESG Bond Issuer 🌟 Overall Most Impressive SSA Funding Team 🌟 Best Agency Funding Team These accolades are a reflection of our team's commitment to excellence and the positive impact of our work. Huge thanks to all the market voters for recognizing our performance as an issuer in capital markets. #TeamTreasury Our Head of Funding, Sven Wabbels, our Head of Capital Markets, Petra Wehlert, and our Senior Funding Manager Jörg Graupner gracefully accepted the trophies (photo, from left to right). They look very pleased, don't they? No wonder, because Jörg was also honored as the 'Most Impressive Agency Funding Official'. Bravo, Jörg! Your dedication is truly commendable. #SuperJörg BTW, we received the award for ‘Best Agency Funding Team’ together with BNG Bank and Agence Française de Développement: Congratulations, of course, also go to you and your highly esteemed teams! #FundingDreamTeam #GreenBonds #ESGbonds #SustainableFinance #FixedIncome #TeamKfW #CapitalMarkets #SSAmarket #GlobalCapitalAwards

🌱 Exciting News! Join us for the IFR ESG Roundtable, taking place at the 5-star Hyatt Regency London Blackfriars on the afternoon of June 17th. Attendance is free, but registration is required. Our Senior Funding Manager - Green Bonds Marlene Walch will be taking the stage to discuss principal drivers of ESG bond issuance alongside Crédit Agricole CIB, European Investment Bank (EIB), NRW.BANK and Sfil. Don't miss this opportunity to gain valuable insights and network with industry experts. Register now to save your spot at the #IFR ESG Roundtable: 👉 https://lnkd.in/eYcri7Kw   #ESG #SustainableFinance