Domestic promotion in 2020
We promote Germany
We finance investments in the future by people in Germany; we finance start-ups and SMEs so that the German economy will remain strong. To achieve this, we finance projects that advance our environment, our municipal and social infrastructures, structural change and the common good.
EUR 106.4 billion was committed to promoting businesses, private clients and municipalities in Germany in 2020 (2019: EUR 43.4 billion), also reaching a new record of one million commitments. This result has been significantly affected by the coronavirus special measures which KfW has been implementing on behalf of the German Federal Government since the spring of 2020. New aid programmes for businesses were launched at short notice, and the existing KfW Student Loan was modified.
Quick and effective support; COVID-19 was also the main issue for domestic promotion in reporting year 2020
Policymakers took quick and resolute action when the pandemic broke out. KfW offered its promotional expertise from the outset and has developed and rolled out aid programmes for small and medium-sized enterprises in particular.
The first KfW Special Programme was created just one month after the initial deliberations. The programmes were continuously developed after that and the offering expanded to include additional target groups. The initial conclusion: The intended effects were achieved, with promotion under the coronavirus aid programmes amounting to a record EUR 46 billion. The programmes also met customer requirements, as measured by the high satisfaction ratings for the application process and the terms.
Circumventing liquidity bottlenecks
Swift implementation of the coronavirus special programme: With 35.6 billion euros, KfW is the most important equity provider for many businesses
Securing jobs in the crisis
Short-term special programme stabilised SMEs and global players by 8.4 billion euros in commitments
Safeguarding the culture of innovation
Global loans of 619 million euros to promotional institutions of the German federal states reach 600 start-ups and small enterprises nationwide in 6 months
Supporting social responsibility
Global loans of 486 million euros to promotional institutions of the German federal states for non-profit?organisations
Promotional issues of relevance for the future
In addition to coronavirus aid, new commitments in 2020 were focused on energy efficiency, renewable energy and digitalisation.
- Improved promotional terms for the Energy-efficient Construction and Refurbishment programmes resulted in a significant increase in commitments of 140% to EUR 26.8 billion (2019: EUR 11.2 billion).
- The “Charging stations for electric cars on residential buildings” grant was successfully launched on 24 November 2020 to high demand; around 137,000 commitments had been made by the end of the year.
- The two new “Digital Infrastructure” programmes, aimed at rapidly expanding broadband in Germany, were launched in April and the first commitments made.
- Despite an eight-month coronavirus freeze, three transactions with a total financing volume of EUR 119 million (KfW's share: EUR 41.3 million) were concluded in the Venture Tech Growth Fund (VTGF) in 2020. The KfW ticket size ranged in these cases from EUR 3.5 to 25 million. Promotion is granted to domestic innovative growth companies in which a professional venture capitalist is involved.
- KfW's programmes actively promoted a variety of objectives in 2020 as well. (in German only)
Creating and refurbishing homes
High demand from private customers for the Energy-efficient Construction and Refurbishment and Home Ownership programmes and commitments of 32.6 billion euros
Getting sustainable mobility moving
Successful programme launch; commitments provided for 166,000 private charging stations within the first 6 weeks
Providing quick support
KfW Student loan with zero interest helps in the crisis through programme modifications; commitments increased to 41,000
Creating digital prospects
The TUMO learning centres new educational offering for pupils launched digitally for 130 young people in the midst of lockdown
Energy transition: SMEs
Fixed interest rate for up to 20 years possible in the Renewable Energy Standard programme
Energy transition: municipalities
1.3 billion euros for municipal energy efficiency in neighbourhood concepts since 2012, Commitments in 2020: 265 million euros
Actively shaping the future
450 milllion euros for 45 smartcity model projects since 2019 for liveable, intelligent cities and communities. Commitments in 2020: 305 million euros
90 million euros for fast broadband: new offering for digital infrastructure received with great interest
Financing the future together
Access to capital of 120 million euros for start-ups in cooperation with private investors secured
We think a step ahead when it comes to promotion: Sales and infocenter handle record demand
Swift action right from the start
Comprehensive programme details of coronavirus aid measures quickly posted on the website and in newsletters and regularly updated
Digitalising promotional channels
Quick customer contact and precise answers to questions 24/7 thanks to chatbot – now also for the “Baukindergeld” scheme
100,000 projects recorded by promotional assistant: quick application process in place; borrowers and financing partners benefit
Providing personal advice and answers
Successful dialogue: 1.3 million calls, 187,000 e-mails and 90 % satisfaction. Infocenter is the first port of call in times of crisis too; support provided for multiple programme launches.
The information contained in this online Annual Report 2020 is based on KfW’s Financial Report 2020, which you can download Should this online Annual Report 2020, despite the great care taken in preparation of its content, contain any contradictions or errors compared to the Financial Report, the KfW Financial Report 2020 takes priority.