News from 2020-03-20 / KfW Research

KfW Credit Market Outlook Special March 2020

Coronavirus and credit: an important building block to limit the economic fallout

The economy is in the stranglehold of the pandemic. Around the world, drastic restrictions to public life are necessary to protect human life and health. The consequences will be severe because they affect the entire German economy.

The credit market plays an important role in this situation because abrupt turnover losses lead to liquidity shortages in a large number of enterprises. That means German financial institutions have to join forces to get the real economy through the epidemic unharmed. The regulator’s move to loosen equity requirements, the measures of the ECB and expanded promotional programmes from KfW combine to form a convincing package that will bolster the credit market.

KfW Credit Market Outlook Special March 2020

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Economic Research

Economic Research

Economic development in Germany and around the world, studies on topics relevant to society such as environmental and climate protection, demography, globalisation, innovation and sustainability, impact of KfW promotional programmes.

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