INVEST IN THE EVERLASTING. GREEN BONDS - MADE BY KFW.
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Invest in the everlasting. Green Bonds – Made by KfW.
Haftungsausschluss / Disclaimer
Die in diesem Dokument enthaltenen Informationen stellen kein Angebot zum Kauf von
Wertpapieren in den USA dar. Wertpapiere dürfen in den USA nur mit vorheriger Registrierung
oder ohne vorherige Registrierung nur aufgrund einer Ausnahmeregelung verkauft oder zum Kauf
angeboten werden. Ein Angebot zum Kauf von Wertpapieren wird in den USA nur auf Grundlage
eines Prospekts erfolgen, der von der KfW zur Verfügung gestellt wird und detaillierte
Informationen über KfW, ihre Geschäftsleitung, ihre Jahresabschlüsse sowie Informationen über
die Bundesrepublik Deutschland enthalten wird.
The information contained in this document does not constitute an offer of securities for sale in the
United States. Securities may not be offered or sold in the United States absent registration or an
exemption from registration. Any offering of securities in the United States will be made by means
of a prospectus that may be obtained from KfW and will contain detailed information about KfW
and its management, financial statements and information about the Federal Republic of
Germany.
Green Bonds - Made by KfW / May 2019 2
Agenda
1. KfW – Commitment to sustainability
KfW at a glance and the importance of its holistic sustainability approach
2. Green Bonds – Made by KfW
KfW’s green bond framework and the green bonds’ mode of operation
3. Green Bond issuances
Overview, experiences and reporting of all KfW green bonds issued
4. KfW at debt capital markets
KfW as an issuer of bonds and notes
5. Green Bond portfolio of KfW
KfW as an investor in green bonds
Green Bonds - Made by KfW / May 2019 3
KfW – Commitment to sustainability KfW at a glance and the importance of its holistic sustainability approach Green Bonds - Made by KfW / May 2019 4
KfW in brief
Germanyʼs Shareholders
Professionally
flagship
German credit supervised and German
developement federal
regulated states 20%
agency
Federal
› The promotional bank of the Rating Republic
of Germany
Federal Republic of Germany, established in 1948 80%
as a public law institution.
Credit
› Benefits from explicit and direct statutory
guarantee and institutional liability from the Aaa Moody‘s
Federal Republic of Germany. Headquarters: Frankfurt am Main
AAA Scope
Branches: Berlin, Bonn
› Regulated by the "Law concerning KfW" and
exempt from corporate taxes. AAA S&P
› Zero risk weighting of KfW’s bonds.(1) Sustainability
› Supervision by the German Federal Ministry of out of
Finance and the German Financial Supervisory TOP 2 19 imug
Frankfurt Berlin
Authority "BaFin". ISS ESG
"Prime"
› Subject to certain provisions of German and out of
# 1 342 Sustainalytics
European bank regulatory laws by analogy, in large
part with effect from January 1, 2016. AAA MSCI
Bonn Cologne (DEG)
(1) According to the standardized approach of the Capital Requirements Regulation (CRR)
Green Bonds - Made by KfW / May 2019 5
Worldwide presence Number of KfW employees 6,376
About 80 representative offices
1948 1950 1960 1970 1980 1990 2000 2010 2016 2017 2018
Bonn
Cologne Moscow
London Berlin
Brussels Chişinău Kyiv
Frankfurt Belgrad
Mazar-e-Sharif Ulan Bator
Sarajevo Priština Tiflis
Istanbul Taschkent Bishkek
New York Podgorica Baku Beijing
Tirana Skopje Ankara Yerevan Dushanbe
Tunis Islamabad
Rabat Beirut Kabul
Ramallah-Al-Bireh Amman
New Delhi Kathmandu
Cairo
Abu Dhabi
Dhaka Hanoi
Mexiko City Mumbai
Rangoon Vientiane
Tegucigalpa Niamey Sanaa
Guatemala City Dakar Bamako Manila
Abidjan Bangkok
San Salvador Managua Ouagadougou
Phnom Penh
Addis Abeba Ho Chi Minh City
Cotonou
Bogotá Lomé Yaoundé Kampala Singapore
Accra
Quito Kigali Nairobi
Kinshasa Bujumbura
Daressalam Jakarta
Lima
Lusaka Lilongwe
La Paz Brasilia
Windhoek
São Paulo Pretoria Maputo
Johannesburg
Green Bonds - Made by KfW / May 2019 6
KfW Group’s business activities
New business 2018: EUR 75.5bn (2017: EUR 76.5bn)
SME Bank & Private Clients Customized Finance & Public Clients KfW Capital
Standardized financing products for SMEs, Individual financings for municipal & social Subsidiary (100%, est. 2018) to carry out KfW’s
Domestic
business founders, start-ups, self-employed infrastructure, customized financing for FI & entire private equity & venture capital business
professionals and private individuals promotional institutes of German federal states
48% 13%
Proven and successful business model
KfW involves commercial banks in its domestic activities
Lender On-lending bank Final borrower
Backed by Understanding II
reached with EU Commission
Green Bonds - Made by KfW / May 2019 8
Sustainability has been and remains one of KfWʼs top priorities
Manifold activities to improve sustainabilty and to act as vocal advocate - examples
Setting new corporate targets:
KfW shall remain among top-performer in ESG ratings by renowned int’l ESG rating agencies
Improving lending business:
Development of a group-wide KfW Roadmap Sustainable Finance by 2020:
‒ Improvement of impact evaluation of KfW’s business (e.g. SDG mapping)
‒ Assessment of sustainability control elements in bank steering
‒ Consideration of ESG and climate risks
in internal risk management process "Sustainability has always been an
important part of our DNA. KfW is
Financing landmark projects: sustainable in a holistic sense,
Clean Ocean Initiative (KfW, EIB and AFD; 2018) i.e. our understanding of
sustainability goes far beyond
– EUR 2bn for sustainable projects to reduce the pollution environment and climate protection. "
in the world’s ocean within the next 5 years
Dr. Günther Bräunig, CEO
– Focus on river and costal areas of developing countries
in Asia, Africa, and the Middle East
Engaging in global initiatives:
‒ PRI – Principles for Responsible Investments signatory
‒ Green Bond Principles Executive Committee member
– TCFD – Task-Force on Climate-related Financial
Disclosure supporter
Green Bonds - Made by KfW / May 2019 9
Holistic sustainability approach at KfW
Since 2019 with explicit reference to SDGs, Paris Agreement and German Governmentʼs
sustainability strategy
KfW Bankengruppe
Declaration on the respect for human rights in its business operations
KfW sustainability mission statement and areas of action
Sustainability Banking Sustainability
management Banking business
Banking business Employer
Employer Banking operations
communications
operations
‒ Sustainability ‒ Sustainability report
organisation:
Financings
Financings Employer
Employer attractiveness Corporate governance
Corporate governance &
‒ Chief Sustainability (in line with the megatrends attractiveness ‒ Sustainability portal
compliance
& compliance
Officer ofofclimate
climatechange
changeand&
‒ Group officer for environment; globalisation, ‒ Stakeholder
sustainability social social
change,change,
digitalisation management
‒ Network of decentralised digitalisation &
and innovation;innovation;
social Equality
Equality (dialogue and
sustainability officers social change)
change) communication)
In-house
In-house environmental
‒ Sustainability guidelines environmental
protection
for banking business protection
Reconciling
Reconciling of work
of work and
and operations Capital market
andprivate life life
private
‒ Sustainability ratings
and rankings
Procurement
Procurement
‒ Inclusion in strategic Risk management Social
Social commitment
commitment
objectives
Green Bonds - Made by KfW / May 2019 10Spotlight 1: Sustainable lending business
A contribution to all of the United Nationsʼ Sustainable Development Goals
The heart of KfWʼs
business activities:
PROMOTION
Initiative for SDG mapping
40% of entire KfW Groupʼs business
Climate Change (preliminary results)
& Environment
− KfWʼs business activities contribute to
5% all 17 SDGs
Digitalisation
& Innovation
− Most of KfW’s new commitments a
year contribute to at least one SDG
− Focal SDGs are:
22%
Globalisation
12%
Social Change
Numbers represent the share of new commitments in 2018
Green Bonds - Made by KfW / May 2019 11Spotlight 2: Sustainable own operations
In-house environmental protection
Fields of activities In-house targets (samples)
− Energy consumption and − Car policy with binding
green electricity criteria that promote
− Energy-efficient buildings ecological vehicles
− Business travel and − Conversion of the heating
commuting and cooling supply in
− Water and wastewater head quarter (Frankfurt).
− Recycled paper Target: reduce GHG
emissions by around
− Charging stations for
1,500 t/a
electric cars & e-bikes
KfW GHG emissions (in tons) 2015 2016 2017 2018
Energy consumption 6,294 6,734 7,070 7,570
Total business travel 7,394 7,411 8,208 8,665
Total 13,628 14,145 15,278 16,235
Ø per employee 2.2 2.1 2.1 2.1
Reporting
− Environmental reporting/accounting since 1998
− Sustainability report since 2006
− Comprehensive sustainability reporting on www.kfw.de
100% of KfW’s GHG emissions from energy consumption and business travel are offset by purchasing Clean Development
Mechanism certificates.
Green Bonds - Made by KfW / May 2019 12Spotlight 3: Sustainable investment approach
As PRI member KfW manages fixed-income investments in a sustainable manner
KfWʼs Liquidity Portfolio Sustainable Investment Approach for the Liquidity Portfolio
€27bn
securing KfWʼs liquidity ESG Integration Exclusion Criteria Engagement
- Only investments - Investments only - The sustainability
Strategy in bonds of issuers in bonds from rating of an issuer
whose issuers who are in is crucial for a
− Pure fixed income portfolio sustainability compliance with potential bond
score is among the investment
− Buy-and-hold strategy the best 80% of IFC exclusion list - Dialogue with the
− Exclusively investment-grade bonds the respective issuers on a
sector regular basis
Asset Classes - Sustainability
assessment of
issuers performed
− Government bonds, covered bonds by an external
− Financials provider (ISS
− Bonds issued by government-related ESG)
issuers and agencies
− ABS
Green Bonds - Made by KfW / May 2019 13Top ESG ratings confirm KfW’s holistic sustainability approach
Renown international rating agencies assign KfW to be among top-performers in ESG
AAA A+ 10 100
KfW is among KfW is among KfW’s rating is KfW is #1 out 93
7.9
the 2 best out Leader the best-rated at the highest of 343 listed
of 19 develop- BB
institutions in Leader level possible and non-listed Industry
ment banks its peer group Industry
C+ banks
BB D
Prime D-
AAA 0
Leader 0
KfW’s strengths KfW’s strengths KfW’s strengths KfW’s strengths
Profound measures regarding the Comprehensive policy regarding In 2018, KfW received a rating of KfW is rated as leader in
management of ESG issues. the respect for human rights. AAA (on a scale of AAA-CCC) in sustainability aspects within its
Development and implementation the MSCI ESG Ratings peer group and all banks
Performance regarding assessment. worldwide.
environmental and governance of an approach to calculate GHG
criteria is above average and on emissions in the corp. value chain. KfW continues with strong
average regarding social criteria. sustainability performance and
Code of conduct covering impor-
tant aspects of business ethics. even outperforms its excellent
Specifically striking is the positive results from last year in all three
performance in the area of Reasonable integration of environ- ESG categories.
environmental business mental and social aspects into the
operations. own investment portfolio.
Last update: March 1, 2019 Last update: Sep 23, 2018 Last update: Sep 4, 2018 Last update: March 18, 2019
KfW has set a new strategic objective of achieving top sustainability rankings among its peers.
Green Bonds - Made by KfW / May 2019 14Green Bonds – Made by KfW KfW’s green bond framework and the green bonds’ mode of operation Green Bonds - Made by KfW / May 2019 15
Why issuing “Green Bonds – Made by KfW”?
Overarching Strategy and Motivation
Sustainability Profile New Investors
We want to enhance We want to attract
ENHA our sustainability DIVER new investors and
profile amongst our thereby diversify
NCE stakeholders SIFY our investor base
Green Investments
We want to boost Low Carbon Economy
INCR environmental We want to actively
EASE
investments via
capital markets by
SUP support the
transition to a low
being a catalyst PORT carbon economy
KfW’s mission: Performing promotional tasks to, among others, protect the environment.
Green Bonds - Made by KfW / May 2019 16Increasing investors’ willingness to engage on green finance
KfW is one of the most active participants in the green bond market
Green Bonds Issuance Volume
(EUR in billions per year, excl. ABS & U.S. municipalities)
€350bn
in Green Bonds
ever issued
1st Sovereign Green Bond ?
by Poland 110
100
1st Green Covered Bond
1stGreen Bonds by BerlinHyp
by EIB
and World Bank Launch of the 68
Green Bond Principles
Launch of the 1st Corporate Green Bond
Climate Bonds by Vasakronan/Sweden 32
Initiative
24
10 United Nations’ COP 21
0.1 0.1 4 1 2 SDGs Paris agreement
2007/8 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019
1st Green Bond – Made by KfW €14.5bn
KfW Green Bonds
Launch of KfW Green Bond Portfolio
outstanding
KfW becomes ExCom-Member of Green Bond Principles
1st Framework “Green Bonds – Made by KfW” 2nd Framework
Source: Bloomberg
Green Bonds - Made by KfW / May 2019 17How do “Green Bonds – Made by KfW“ work?
Liquidity management
Renewable Energy &
Energy Efficiency
2 Loan Programmes
36,268 loans
2018
Socially Lender On-lending bank Final borrower
responsible
investors
Other
SEK1bn 5y France Solar renewables
Other OECD
€1bn 8y Wind countries
Funding energy
16% Residential
buildings
SEK5bn 10y €1.6bn €9.3bn
2018 2018
96% Germany
82%
Green Bonds – Made by KfW Underlying assets*
* For illustration purpose only, may be subject to adjustments. Energy efficiency projects (construction and acquisition of new energy efficient residential buildings) were newly included in eligible underlying assets for KfW Green Bonds.
Green Bonds - Made by KfW / May 2019 18What are the net proceeds of KfW Green Bonds used for?
Use of Proceeds: all projects (co-)financed under two KfW loan programmes
Renewable Energy Energy Efficiency
KfW loan programme "Renewable Energies – Standard" (no. 270) KfW loan programme "Energy-efficient Construction" (no. 153)
− Use: Renewable energy plants for electricity − Use: Construction and acquisition of new energy-
generation, combined electricity and heat generation efficient residential buildings with low energy
and measures to integrate renewable energy into the consumption and reduced carbon emissions.
energy system, in particular photovoltaic panels, Eligible buildings, including passive houses, must be at
wind mills (on/offshore), hydropower (Case studies on renewable energy & energy efficiency projects
Renewable Energy Energy Efficiency
KfW loan programme "Renewable Energies – Standard" (no. 270) KfW loan programme "Energy-efficient Construction" (no. 153)
Windpark „Dretzen II“ by NOTUS
New construction of a family home
energy GmbH
− Brandenburg/Germany − Bavaria/Germany
− 34,000 MWh p.a. renewable energy − Energy-efficient measures:
produced wooden construction, clay plaster,
reed insulation, biomass heating,
− 17,799 tons p.a. estimated GHG
reduction ventilation with heat recovery
− EUR 22.5m total project costs − KfW Efficient house 55
− Project costs: 1,465€/m²
− KfW financing share: 88%
PV system by HP-T Höglmeier
Apartment building in a backyard
Polymer-Tech GmbH
− Bavaria/Germany − Munich/Germany
− 945 MWh p.a. renewable energy − Energy-efficient measures:
produced passive-house components, compact
− 127 tons p.a. estimated GHG reduction building shape, controlled
ventilation, district heating
− EUR 420,000 total project costs
− KfW Efficient house 40
− KfW financing share: 95%
− Project costs: 2,460€/m²
Green Bonds - Made by KfW / May 2019 20How will the eligible green projects be selected?
Process for project evaluation & selection
Project Selection Project Evaluation
KfW’s environmental & social risk
management framework
− High level of environmental protection and
social regulations applicable by the
Germany responsible authorities.
− No further ESG assessment by KfW.
EU & High- − High level of environmental protection and
social regulations applicable by the
− KfW loans are extended to final borrowers via interme- Income-
OECD responsible authorities.
diaries such as commercial banks or local saving banks.
countries − No further ESG assessment by KfW.
− Intermediaries apply their regular loan procedure, assume
the liability for repayment to KfW and screen against the
− KfW’s lending department assesses possi-
specific programmes’ eligibility criteria KfW defined.
ble negative environmental or social impact.
− In a 2nd step, the KfW lending department reviews the − KfW’s Competence Centre for Environment
loan application and compliance with the eligibility criteria and Sustainability reviews projects that are
of the specific KfW loan programme. All other
countries considered relevant.
− All projects approved by KfW’s lending department for − All projects must comply with int’l regula-
eligible loan programmes immediately qualify for KfW tions incl. those of EU, World Bank, and the
Green Bonds w/o further selection or approval process. International Labour Organisation (ILO).
Green Bonds - Made by KfW / May 2019 21How will the proceeds of KfW Green Bonds be managed?
Management of proceeds
Transparent tracking
Loans for
Net
renewable
proceeds Green bond
energy &
from register
energy
issuance
efficiency
Amount equal to
Separate euro
Green bonds in net proceeds used
register for each
several currencies for disbursements
and sizes calendar year,
of eligible green
first-in -> first-out
projects
On a monthly basis, amounts matching requests for disbursements under KfW’s programmes “Renewable
Energies – Standard” and „Energy-efficient Construction“ are allocated to an internal register starting with
the beginning of the calendar year.
Upon issuance of “Green Bonds – Made by KfW”, an amount equal to the net proceeds in euros of such
transactions is allocated to this internal register in their order of issuance.
For any “Green Bonds – Made by KfW”, KfW expects full allocation by end of the year of issuance.
“Green Bonds – Made by KfW” can be increased (tapped). In terms of management of proceeds and
reporting a tap is treated like a new issuance.
The volume-weighted average maturity of the cumulated green bonds issued in one year may not exceed
the average duration of the cumulated loan commitments for eligible green projects of the preceding year.
Green Bonds - Made by KfW / May 2019 22How does KfW report on allocation and impact of Green Bonds?
Reporting
KfW aims to create transparency and trust in the effectiveness of its “Green Bonds – Made by KfW” with a
regular reporting. Two separate reports provide information about the allocation and impact.
Allocation Report Impact Report
− Annual report until full allocation of the net proceeds. − One-off report once the underlying loan programmes have
− Shows allocated and unallocated proceeds, if applicable. been evaluated for an entire calendar year.
− Shows breakdown by eligible category and country of − Shows the estimated social and environmental ex-ante
the cumulated requests for disbursement of one year. impact in accordance with the Harmonized Framework for
Impact Reporting.
− This non-dynamic portfolio is linked to the cumulated net
proceeds of all green bonds issued in the same calendar − Core indicators for Renewable Energy:
year, therefore, all fully allocated “Green Bonds – Made by GHG emissions reduced/avoided, renewable energy
KfW” issued in one calendar year show the same breakdown generation, capacity of renewable energy added
by category/country. − Core indicators for Energy Efficiency:
− Prepared on a portfolio basis and shows aggregated data. GHG emissions reduced/avoided, energy savings
− Prepared on a portfolio basis and shows aggregated data for
each calendar year as well as the key underlying methodology
and assumptions to the estimations.
− The non-dynamic portfolio is linked to the cumulated net
proceeds of all green bonds issued in the same calendar year,
therefore, all “Green Bonds – Made by KfW” issued in one
calendar year show the same impact per unit financed.
Green Bonds - Made by KfW / May 2019 23Estimated impact of “Green Bonds – Made by KfW”
Ex-ante data based on external programme evaluation and on KfW’s financing share
Renewable Energy Cumulated impact
Cumulated impact 2014-2018
2014-2018
KfW loan programme "Renewable Energies – Standard" (no. 270) of 2
of all
all KfW
KfW Green
Green Bonds
Bonds2
Impact data per €1m KfW loan amount1 2014 2015 2016 2017 2018
Expected reduction of GHG emissions
Not yet Not yet
Annual GHG emissions reduced (in tons of CO2e) 880 859 794 available available
Annual renewable electricity generation
Renewable energy capacity added (in MWel)
(in MWhel) 1,218
0.61
1,273
0.64
1,185
0.61
Not yet
available
Not yet
available
Not yet
available
Not yet
available
12.0m
tons of CO2e p.a.
Number of jobs created/preserved (in person years) 17 17 16 Not yet
available
Not yet
available
equivalent to GHGs
from more than 6.1m passenger
cars 3
Not yet Not yet
Annual savings in energy imports (in EUR) 46.5K 46.8K 44.3K available available
Not yet Not yet
Annual savings in external costs (in EUR) 89.7K 86.4K 80.7K available available
Expected renewable electricity generated
Energy Efficiency
KfW loan programme "Energy-efficient Construction" (no. 153)
17.5mMWhel p.a.
Impact data per €1m KfW loan amount1 2014 2015 2016 2017 2018
equivalent to
powering almost 5.5m German
housholds 4
Not yet
Annual GHG emissions reduced (in tons of CO2e) 3.8 4.4 4.6 4.6 available
Annual final energy savings (in MWh) 12.5 11.9 10.9 9.6 Not yet Renewable energy capacity added
available
Number of jobs created/preserved
1Figueres
(in person years) 12 11 11 11 Not yet
available
are based on numbers evaluated by external research institutions (ZSW or IWU) and own calculations. Data for projects outside Germany are not available. Assumption:
Projects outside Germany deliver the same impact as projects located in Germany. The share of projects outside Germany in total project costs of Programme no. 270 between
8,910MWel
2014 and 2018 varied from 20% to 50%. Actual and future impacts might be different. equivalent to the nuclear
2Issuance volume €14.5bn. Preliminary as the impact of the not yet evaluated years 2017 and 2018 is estimated based on prior year‘s results. Therefore subject to adjustments.
3Based on data from the German Federal Ministry of Environment: and the German Federal Motor Transport Authority: 139gCO e/km; 14,015km/year.
4Based on an average power consumption of a German household of 3,207kWh per year.
2
power of more than 6 power plants5
5Based on an average power of 1.4 GW per nuclear power plant.
Green Bonds - Made by KfW / May 2019 24Independent expert opinions are essential for KfW
External review
Second Party Opinion Verification Green Bond Rating
− Independent Second Party Opinion for − The positive environmental impact − The first two “Green Bonds – Made
KfW’s Green Bond Framework issued of KfW's individual loan programmes by KfW” (EUR1.5bn 0.375%
by CICERO saying: underlying its “Green Bonds – Made 2014/2019 and USD1.5bn 1.750%
− KfW Framework 2019 by KfW” is evaluated by one or more 2014/2019) were rated by oekom
(Renewable Energy & Energy Efficiency) independent institutions. research AG (today: ISS ESG)
− In line with Green Bond Principles − The KfW loan programme saying:
− Shades of Green: medium green “Renewable Energies – Standard” − Good (b+), which represents the
has been and will be evaluated at highest rating at that time
− Governance: excellent least until 2018 by the independent − As all KfW Green Bonds issued
− KfW Framework 2014 research institution ZSW (Center for between 2014 and 2018 refer to the
(Renewable Energy) Solar Energy and Hydrogen same framework, the assessment
− In line with Green Bond Principles Research / Germany). applies as well to all other „Green
− Shades of Green: dark green − The KfW loan programme “Energy- Bonds – Made by KfW“ issued under
efficent Construction” has been the KfW Framework 2014.
− CICERO (Center for Int‘l Climate and
evaluated until 2017 by the
Environmental Research Oslo/Norway)
independent research institution IWU
is an experienced, non-profit research
(Institute for Housing and
centre recognized as „best external
Environment / Germany).
assessment provider“.1
1Environmental Finance Bond Awards 2019
Green Bonds - Made by KfW / May 2019 25Green Bonds issuances Overview, experiences and reporting of all KfW green bonds issued Green Bonds - Made by KfW / May 2019 26
Highlights of KfW’s footprint in the green bond market
Currency Split of all
High Quality Liquidity Credibility KfW Green Bonds issued
5% AUD
Aligned with GBP & Harmoni- Large sizes in benchmark Top ESG ratings and a strong 6% SEK
zed Framework for Reporting, maturities make KfW green focus on green finance make
SPO from CICERO, external bonds among the most liquid KfW one of the most credible 9% GBP
impact evaluation. green bonds in the market. issuers of green bonds.
#1 in Germany
€14.5bn of „Green Bonds –
Contribution to SDGs
7: Affordable & Clean Energy,
Green Indices
Eligible for many green
32%
USD
Made by KfW“ since 2014 11: Sustainable Cities & Com- indices like “The BofA Merrill
make KfW one of the largest munities, 13: Climate Action. Lynch GB Index”, “Barclays
issuers globally and by far the MSCI GB Index”, “S&P GB
largest issuer in Germany. Index”, “Solactive GB Index”.
Green Bond Investor Vocal Advocate Global Engagement
Since 2015 runs a dedicated
green bond investment
portfolio of €2bn (target)
As member (since 2015) of
the Exec. Committee of the
Grren Bond Principles, KfW is
Engaging in and suppoting of
int‘l and national initiatives to
promote sustainability in
48%
EUR
mandated by the Federal highly committed to foster capital markets (e.g. PRI,
Ministry of Environment. green bond market standards. TCFD, EU TechExpert-Group).
Green Bonds - Made by KfW / May 2019 27Issuance date
EUR 1.5bn 5y
USD 1.5bn 5y
AUD 600m 5y
GBP 500m 5y
EUR 1.5bn 5y
Green Bonds - Made by KfW / May 2019
USD 1bn 5y
SEK 1bn 5y
SEK 1bn 5y
Overview on all issuances since 2014
EUR 1bn 8y
Tap: GBP 250m
Green Bonds – Made by KfW
USD 1.5bn 5y
Tap: GBP 250m
Volume of green bonds issued year-to-date: EUR 14.5bn
EUR 2bn 8y
Tap: AUD 200m
Green Bonds – Made by KfW
PP USD 150m
PP USD 200m
USD 1bn 5y
Tap: AUD 200m
SEK 1bn 5y
SEK 5bn 10y
EUR 1bn 8y
28Investors in Green Bonds – Made by KfW
KfW set three goals with regard to its investor base
New Investors Dedicated Green Investors Mainstream Investors
KfW Green Bonds shall attract new KfW Green Bonds shall comply with KfW Green Bonds shall raise aware-
investors. strong requirements of dedicated ness of mainstream investors for
green investors. sustainability and green finance.
75 new investors 50% SRI Almost every
since 2014, primarily asset mana- In 2018, SRI bought 50% of KfW discussion with investors, even with
ger, which did never invest before Green Bonds while their orders central banks and treasuries, at
in KfW bonds in primaries. stood at 30% → SRI preferred. least touches on green bonds.
Investor Characteristics of Green Bonds – Made by KfW
Share of asset manager (incl. 3% European From discussions with investors
insurances/pension funds) in KfW 21% investors and feedback from lead managers:
Green Bonds much higher than in dominate KfW dedicated green investors and SRI
Investors
conventional KfW bonds by region Green Bonds tend to be more
13% 63%
39% buy-and-hold
24% Europe Americas
Allocation of EUR/USD bonds 2014-2018 Asia Australia
Green Bonds - Made by KfW / May 2019 29A comparison of green and conventional KfW Bonds
Pricing Green vs. Conventional Bonds
Green Bonds – Made by KfW Conventional KfW Bonds
(EUR, April 2019)
Issuer Maturity
Sep.2017
17 2020
Jun. 20 2023
Mrz. 23 202525
Dez. 2028
Sep. 28 2031
Jun. 31
Guarantor The Federal Republic of Germany 0
-5
Rating Moody‘s: Aaa Scope Ratings: AAA Standard & Poor‘s: AAA -10
-15
Risk weight 0% according to CRR/Basel III
Spread
-20
-25
General business, however, amount General business
Use of -30
equal to net proceeds for climate friend-
Proceeds
ly projects accord. to KfW Framework -35
-40
Reporting Allocation report & Impact report None
o
-45
Green Bonds Conventional Bonds
Target Institutional investors, especially green Institutional investors
investors or socially responsible investors (SRI)
Currency Flexible, primarily EUR, USD, GBP, AUD, SEK, JPY. Up to 20 currencies possible.
“Green Bonds – Made by KfW”
Determined by underlying green assets, Flexible, primarily 2 to 15 year achieve currently tighter spread levels
Term
primarily 5 to 10 years
in comparison with KfW’s conventional
Repayment Bullet bonds for the corresponding maturity.
EMTN, Global, Kangaroo, US-MTN EMTN, Global, Kangaroo, US-MTN,
Format
Kauri, NSV, SSD
Green Bonds - Made by KfW / May 2019 30Green Bonds – Made by KfW
Overview on issuances and reporting
Reporting
Green Bonds
Use of proceeds Impact
− 2 Green Bonds issued in EUR and − Available for the full year ended
− Available for the full year ended
2014
USD December 2014; based on loan
− Net proceeds from the issuances December 2014 programme evaluation by
totalled EUR 2.7bn ZSW
− 5 Green Bonds issued in AUD,
− Will be disclosed once ZSW has
2015
GBP, EUR, USD and SEK − Available for the full year ended
evaluated the loan programme for
− Net proceeds from the issuances December 2015
2015
totalled EUR 3.7bn
− 4 Green Bonds issued in SEK,
− Will be disclosed once ZSW has
2016
EUR, GBP and USD − Available for the full year ended
evaluated the loan programme for
− Net proceeds from the issuances December 2016
2016
totalled EUR 2.8bn
− 7 Green Bonds issued in EUR,
− Will be disclosed once a third
2017
USD, GBP und AUD − Available for the full year ended
party has evaluated the loan
− Net proceeds from the issuances December 2017
programme for 2017 and 2018
totalled EUR 3.7bn
− 3 Green Bonds and 1 Schuldschein
− Will be disclosed once a third
2018
issued in EUR and SEK − Available for the full year ended
party has evaluated the loan
− Net proceeds from the issuances December 2018
programme for 2017 and 2018
totalled EUR 1.6bn
Green Bonds - Made by KfW / May 2019 312014: Reporting on the Use of Proceeds
For the full year ended December 31, 2014
Requests for Disbursements under KfW's "Renewable Energies
Programme – Standard" and green bond issue proceeds 2014
Distribution of disbursements by
Total 4.1bn EUR renewable energy type (2014)
Green Bonds – wind (80%)
Made by KfW
solar (17%)
2.7bn EUR
biogas/-mass
(1%)
0 1 2 3 4 5
hydropower
(2014: Reporting on the impact
Environmental and social impact for the full year 2014 based on external evaluation by
ZSW
Impact of EUR 1 million investment in “Green Bonds – Made by KfW” issued 20141:
− 1,271 tons of GHG emission reductions (CO2-equivalent) p.a.
− EUR 67,155 of savings on energy imports to Germany and fossil fuel costs p.a.
− 25 jobs created and/or saved (person years)
− EUR 129,606 of savings in external costs p.a. (e.g. by avoiding environmental and health damage)
Commitments under KfW’s programme “Renewable Energies – Installed electrical power supported in 2014 MWel
Standard” in 2014
Biogas 5.5
Number of loan commitments 4,805
Solid biomass 0.1
Plant type
Volume of loan commitments (EUR mn) 3,786
Thereof outside Germany (EUR mn) 1,001 Photovoltaic energy 570.3
Investments financed (EUR mn) 5,909 Hydropower 11.0
Thereof outside Germany (EUR mn) 1,886 Wind energy onshore 3,082.5
Average loan volume per commitment (EUR) 787,910 Total 3,669.4
Average investment financed per commitment (EUR) 1,229,780 TWh
Annual electricity production
Average share of financing 64% 7.0
1 Values are based on programme impacts in 2014 in Germany – with numbers evaluated by ZSW – and internal calculations; impact for projects outside Germany might be different..
Green Bonds - Made by KfW / May 2019 332015: Reporting on the Use of Proceeds
For the full year ended December 31, 2015
Requests for Disbursements under KfW's "Renewable Energies
Programme – Standard" and green bond issue proceeds 2015
Distribution of disbursements by
Total 4.2bn EUR renewable energy type (2015)
Green Bonds – wind (90%)
Made by KfW
solar (8%)
3.7bn EUR
biogas/-mass
0 1 2 3 4 5
(2015: Reporting on the impact
Environmental and social impact for the full year 2015 based on external evaluation by
ZSW
Impact of EUR 1 million investment in “Green Bonds – Made by KfW” issued 20151:
− 859 tons of GHG emission reductions (CO2-equivalent) p.a.
− EUR 46,759 of savings on energy imports to Germany and fossil fuel costs p.a.
− 16 jobs created and/or saved (person years)
− EUR 86,418 of savings in external costs p.a. (e.g. by avoiding environmental and health damage)
Commitments under KfW’s programme “Renewable Energies – Installed electrical power supported in 2015 MWel
Standard” in 2015
Biogas 13.7
Number of loan commitments 2,887
Volume of loan commitments (EUR mn) 4,266 Solid biomass 0.5
Plant type
Thereof outside Germany (EUR mn) 1,088 Photovoltaic energy 560.6
Investments financed (EUR mn) 5,421 Hydropower 8.3
Thereof outside Germany (EUR mn) 1,336 Wind energy onshore 3,015.9
Average loan volume per commitment (EUR) 1,477,781
Total 3,598.9
Average investment financed per commitment (EUR) 1,877,657
TWh
Average share of financing 79% Annual electricity production
6.7
1 Valuesare based on programme impacts in 2015 in Germany – with numbers evaluated by ZSW – and internal calculations; impact for projects outside Germany might be different. Calculated impact
accounts for KfW's financing share in Germany
Green Bonds - Made by KfW / May 2019 352016: Reporting on the Use of Proceeds
For the full year ended December 31, 2016
Requests for Disbursements under KfW's programme "Renewable
Energies – Standard" and green bond issue proceeds 2016
Distribution of disbursements by
Total 4.2bn EUR renewable energy type (2016)
Green Bonds –
Made by KfW
wind (86%)
2.8bn EUR
solar (13%)
0 1 2 3 4 5
other (1%)
− KfW issued four green bonds in 2016 – thereof three new bonds
4 green bonds
(SEK, EUR, USD) and one tap (GBP).
− Net proceeds from the green bonds issued in 2016 amounted to EUR
EUR 2.8bn Geographical distribution of
2.8bn.
disbursements (2016)
− As of December 31, 2016, 100% of the net proceeds from the green Germany
100% allocated bond issuances in 2016 were invested in KfW's programme (79%)
"Renewable Energies - Standard". France (12%)
− With 99%, the majority of all requests for disbursements were related Denmark (3%)
to projects for the use of wind energy (86%) and solar energy (13%).
86% wind energy, UK (1%)
− 79% of the financed projects were located in Germany. 21% were
79% in Germany
located in France, Denmark, the United Kingdom, Finland, the Other (5%)
Netherlands, Croatia, Japan, Ireland, Austria, and Canada.
4% of total − Green bonds account for 4% of KfW's total funding which totalled to
funding EUR 72.8bn.
Green Bonds - Made by KfW / May 2019 362016: Reporting on the Impact
Environmental and social impact for the full year 2016 based on external evaluation by
ZWS
Impact of EUR 1 million investment in “Green Bonds – Made by KfW” issued 20161:
− 794 tons of GHG emission reductions (CO2-equivalent) p.a.
− EUR 44,321 of savings on energy imports to Germany and fossil fuel costs p.a.
− 16 jobs created and/or saved (person years)
− EUR 80,721 of savings in external costs p.a. (e.g. by avoiding environmental and health damage)
Commitments under KfW’s programme “Renewable Energies – Installed electrical power supported in 2016 MWel
Standard” in 2016
Biogas 0.9
Number of loan commitments 3,138
Volume of loan commitments (EUR mn) 4,516 Solid biomass -
Plant type
Thereof outside Germany (EUR mn) 826 Photovoltaic energy 538.5
Investments financed (EUR mn) 5,670 Hydropower 1.78
Thereof outside Germany (EUR mn) 1,112 Wind energy onshore 3,015.2
Average loan volume per commitment (EUR) 1,438,987
Total 3,556.4
Average investment financed per commitment (EUR) 1,806,860
TWh
Average share of financing 80% Annual electricity production
6.7
1 Valuesare based on programme impacts in 2016 in Germany – with numbers evaluated by ZSW – and internal calculations; impact for projects outside Germany might be different. Calculated impact
accounts for KfW's financing share in Germany
Green Bonds - Made by KfW / May 2019 372017: Reporting on the Use of Proceeds
For the full year ended on December 31, 2017
Requests for disbursements under KfW's programme "Renewable
Energies – Standard" and green bond issue proceeds 2017
Total 4.1bn EUR Distribution of disbursements by
renewable energy type (2017)
Green Bonds –
Made by KfW
3,7bn EUR wind (86%)
0 1 2 3 4 5 solar (12%)
− KfW issued four green bonds in 2017 – thereof four new bonds
7 green bonds other (2%)
(EUR, USD) and three taps (GBP, AUD).
− Net proceeds from the green bonds issued in 2017 amounted to EUR
EUR 3.7bn
3.7bn.
Geographical distribution of
− As of December 31, 2017, 100% of the net proceeds from the green disbursements (2017)
100% allocated bond issuances in 2017 were invested in KfW's programme
Germany
"Renewable Energies - Standard" (73%)
France
− 98% of all requests for disbursements were related to projects for the (13%)
use of wind energy (86%) and solar energy (12%). 73%, the projects Finland (4%)
86% wind energy, financed were located in Germany. 27% of all requests for
73% in Germany disbursements were related to projects located in France, Finland, Norway (3%)
Norway, Ireland, Denmark, Japan, the UK, Italy, Sweden, the
Other (7%)
Netherlands and Croatia.
5% of total − Green bonds account for 5% of KfW's total funding which totalled to
funding EUR 78.2bn.
Green Bonds - Made by KfW / May 2019 382018: Reporting on the Use of Proceeds
For the full year ended on December 31, 2018
Requests for disbursements under KfW's programme "Renewable
Energies – Standard" and green bond issue proceeds 2018
Total 1.62 bn EUR Distribution of disbursements by
renewable energy type (2018)
Green Bonds –
Made by KfW
1.6 bn EUR wind (83%)
0 1 2
solar (16%)
− KfW issued three green bonds in EUR and SEK and one green
4 green bonds other (1%)
promissary note loan (Schuldschein) in EUR in 2018.
− Net proceeds from the green bonds issued in 2018 amounted to EUR
EUR 1.6bn
1.6bn.
Geographical distribution of
− As of December 31, 2018, 100% of the net proceeds from the green disbursements (2018)
100% allocated bond issuances in 2018 were invested in KfW's programme
Germany (47%)
"Renewable Energies - Standard"
France (26%)
− 99% of all requests for disbursements were related to projects for the
use of wind energy (83%) and solar energy (16%). 47% of the Sweden (10%)
83% wind energy, projects financed were located in Germany. 26% of all requests for
47% in Germany disbursements were related to projects located in France, 10% in The Netherlands
(4%)
Sweden, and the remainder in the Netherlands, Ireland, Denmark,
Other (13%)
Finland, Italy, Japan and the UK.
2% of total − Green bonds account for 2% of KfW's total funding which totalled to
funding EUR 76.1bn.
Green Bonds - Made by KfW / May 2019 39KfW at debt capital markets KfW as an issuer of bonds and notes Green Bonds - Made by KfW / May 2019 40
Key financial figures of KfW Group (IFRS)
Solid business performance
2017 2018 1Q 2019
Business activities (in EUR bn) – for the period
Promotional business volume 76.5 75.5 16.9
Income statement key figures (in EUR mn) – for the period
Operating result before valuation & promotional activities 1,661 1,387 392
Consolidated profit 1,427 1,636 295
Consolidated profit before IFRS effects from hedging 1,192 1,311 317
Balance sheet (in EUR bn) – at the end of the period
Total assets 472.3 485.8 508.8
Equity 28.7 30.3 30.4
Volume of business 572.2 590.7 613.2
Key regulatory figures (in %)(1) – at the end of the period
Tier 1 capital ratio 20.6% 20.1% 20.0%
Total capital ratio 20.6% 20.1% 20.0%
(1) Since 2017 calculations based on the IRBA approach for a large part of the portfolio. For the remaining sub-portfolios KfW applies the CRSA approach until full IRBA approval.
Green Bonds - Made by KfW / May 2019 41Highlights in 2018 and 1Q2019
In 2018, KfW Group achieved a total volume of EUR 75.5bn in its promotional activity (-1.3% vs 2017). While KfW’s
international business increased significantly, this was offset by a substantial decrease in its domestic business sectors.
In light of the robust economic growth and good financing conditions for private and commercial investors, KfW scaled back
its domestic promotion to EUR 46.0bn (2017: EUR 51.8bn). However, segments that provide impetus for the future were
expanded, e.g. digitalisation and innovation. Also, there is great demand for the new Baukindergeld, a grant-based
government-sponsored program launched in 09/2018, which helps families buy their own homes.
International business grew by 20% to EUR 28.3bn. It was marked by a 29% increase in commitments in export and
project finance (EUR 17.7bn) driven by an increase in almost all sectors. The promotion of developing countries and
emerging economies grew by 8% to EUR 10.6bn, of which 82% were accounted for by KfW Development Bank and
18% by DEG. Focus areas are Africa and the Middle East.
KfW Capital was founded in 08/2018 as a wholly owned subsidiary of KfW for the purpose of bundling its venture capital
activities in one entity. Its business objective is to invest in German and European venture capital and venture debt funds
with the aim to improve access to capital for innovative technology-oriented growth companies in Germany. While
commitments in 2018 amounted to EUR 141m, KfW Capital aims to invest roughly EUR 2 billion within the next ten years.
In the Financial markets business sector KfW invested a total of around EUR 1.1bn in securitisation transactions to
promote SMEs (2019e: EUR 1bn). In addition, KfW supported climate change mitigation and environmental protection by
investing EUR 0.4bn in green bonds (2019e: EUR 0.3bn).
With a consolidated profit of EUR 1.6bn, KfW’s earnings position developed very well overall in 2018, significantly
exceeding expectations. KfW expects a consolidated result 2019 before IFRS effects from hedging of approx. EUR 0.8bn,
and therefore below its strategic target of EUR 1bn.
In 1Q2019, KfW Group committed EUR 16.9bn (-11% yoy) with 64% resulting from domestic and 36% from int’l business.
Decreasing domestic commitments were only partially offset by increasing int’l commitments. Profit evolved very well
(EUR 295m, +30% yoy) primarily due to persistently low need for credit risk provisions. Total assets are up 5% to
EUR 509bn vs year-end 2018 mainly because of an increase in liquidity held due to the high funding volume in 1Q2019.
Green Bonds - Made by KfW / May 2019 42Business performance
75.5 bn EUR 486 bn EUR 1.6 bn EUR
Total promotional business Total assets at end-2018 Consolidated profit 2018
volume 2018
• About 60% domestic and 40% international • Germany’s 3rd largest credit institution in • Better than expected, due to extremely low
business. terms of total assets. risk provisioning and positive valuation
• In 2018 shift towards international business. effects.
81.0 507 509
79.3 76.5 75.5 503 472 486
2.2 2.0
1.6
in bn EUR
1.4
in bn EUR
in bn EUR
0.3
16.9
2015 2016 2017 2018 1Q 2019
2015 2016 2017 2018 1Q 2019
2015 2016 2017 2018 1Q 2019 Strategic target (before IFRS effects)
Capital Ratio (Tier 1)
in % 22.3 • BaFin approval as advanced IRBA institution
20.6 20.1 20.0
18.3 since 6/2017.
preliminary IRBA • The decrease of the Tier 1 capital ratio of
IRBA approval
CRSA KfW as of December 31, 2018, which had
IRBA approved
amounted to 20.6% at year-end 2017, were
16.1 15.7 mainly due to methodical adjustments and
BaFin minimum requirement
exchange rate effects (EUR/USD).
2015 2016 2017 2018 1Q 2019
Green Bonds - Made by KfW / May 2019 43Explicit and direct guarantee from the Federal Republic of Germany
Basis of KfW’s funding
Guarantee established in 1998
Defined by law
Direct, explicit and unconditional
§1a of the Law concerning KfW:
The Federal Republic guarantees all obligations of KfW
in respect of loans extended to and debt securities issued by
KfW, fixed forward transactions or options entered into by
KfW and other credits extended to KfW as well as
credits extended to third parties inasmuch as they are expressly
guaranteed by KfW.
Green Bonds - Made by KfW / May 2019 44Wide selection of products addressing investor needs
KfW Benchmark Programmes Green Bonds – Made by KfW
− Large and highly liquid bonds, − Liquid green bonds, diversified
highly diversified investor base SRI investor base
− Regular offerings and taps − Focus: € and $
− Size: 3–5bn (6bn incl. taps, euro only) − Regular offerings and taps
− 3, 5, 7 and 10y − Private placements possible
Format: EMTN, Global Format: EMTN, Global, Kangaroo, US-MTN
Target ’19
€$ €80bn € $ ₤ A$ SEK …
€41.3bn
Additional Public Bonds April 30 ’19 Tailor-made Placements
− Large and liquid bonds, − Customized products for
diversified investor base investor needs
− Tenors from 1 to 30y − Flexible in currency, structure
− Liquid curves and strategic and maturity
approach in ₤ and A$ − Uridashi transactions
− Regular offerings and taps Format: EMTN, US-MTN, NSV, SSD
Format: EMTN, Global, Kangaroo, Kauri
€ $ ₤ A$ NZ$ C$ SEK NOK € $ ¥ HK$ Mex$ CN¥ ZAR …
Green Bonds - Made by KfW / May 2019 45Strong presence in debt capital markets
Relying on debt capital markets KfW is one of the largest issuers of bonds and notes
Funding volume (EUR in billions) Capitalization (at year-end 2018)
90
78.2 6%
80 76.1
72.8 4%
70 4.3
62.6 15.8 17.0 9%
60 4.3 16.0
3.7
EUR
50 15.8 Total
€469bn
41.3bn
issued as per
40 3.7 April 30, 2019
12.4
30
55.4 55.4
49.8
20 38.8
80%
27.4
10
0
2015 2016 2017 2018 2019
KfW Benchmark Programmes Green Bonds – Made by KfW Capital Markets Money Markets
Additional Public Bonds Tailor-made Placements Other Liabilities Equity
(primarily collateral from derivative transactions)
Green Bonds - Made by KfW / May 2019 46KfW’s funding by currencies and instruments
Benchmark bonds are key – core currencies euro and US dollar
Instruments Currencies
(in %) (in %)
80 80
70 70
60 60
50 50
40 40
30 30
20 20
10 10
0 0
Benchmark Green Additional Tailor-made EUR USD GBP AUD JPY Others
Programmes Bonds Public Bonds Placements
2015 (EUR 62.6bn) 2016 (EUR 72.8bn) 2017 (EUR 78.2bn) 2018 (EUR 76.1bn)
Highlights in 2018
− 12 benchmark bonds (plus 7 taps) issued in EUR (3x 5y, 2x 7y, 2x 10y) and USD (2y, 2x 3y, 5y, 10y) accounting for EUR 55.4bn raised.
− 4 “Green Bonds – Made by KfW” issuances in EUR and SEK with an equivalent of EUR 1.6bn. The SEK 5bn issuance in 10s marks KfW’s
largest SEK green bond so far.
− Ongoing strong demand for large and liquid benchmark bonds: 73% of total funding.
− The challenging market environment led to a particularly flexible funding strategy.
− For the second subsequent year in a row, EUR gained in 2018 the highest share ever (approx. EUR 46.2bn, 61% of total funding) in the
currency mix followed by USD (approx. EUR 20.5bn equivalent, 27% of total funding).
Green Bonds - Made by KfW / May 2019 47KfW in the capital markets in 2019
Strong presence in the capital markets with funding target of
EUR 80 billion.
KfW’s outstanding access to the capital markets, including in
USD, facilitates the issue of liquid global bonds.
KfW relies on its proven strategy of diversification and therefore
continues to offer a wide selection of products addressing
investors’ needs.
EUR & USD remain key currencies in 2019 (2018: 88%).
The KfW Benchmark Programmes remain the most important
funding source.
GBP, AUD and Uridashi are important for KfW’s funding mix.
Increasing commitment to green bonds.
Green Bonds - Made by KfW / May 2019 48Green Bond portfolio of KfW KfW as an investor in green bonds Green Bonds - Made by KfW / May 2019 49
KfW is also an active investor in Green Bonds
Goals and eligible categories of KfW’s Green Bond Portfolio
Motivation & Goals Eligible Categories
KfW’s long-term goal is an active contribution to − Renewable energy fund
the global reduction of environmental pollution − Energy efficiency projects
and climate change, through alternative funding
of sustainable projects via the capital market. − Environmental friendly transportation
− Waste industry
The portfolio is backed by the Federal Ministry − (Waste-) water-management
for the Environment, Nature Conservation, − Biodiversity measures
Building and Nuclear Safety (BMUB).
− Other refinancings with a positive impact on
climate and environmental protection
KfW actively supports the green bond market
with the development of qualitative standards
and an engagement process with market
participants.
Since April 2015, Target volume
€2bn
KfW has been actively
investing in Green Bonds
on a global scale.
Green Bonds - Made by KfW / May 2019 50KfW has strict criteria on its green bond investments
Minimum criteria & key portfolio figures of KfW’s Green Bond Portfolio
Minimum Criteria Key Portfolio Figures
Management of proceeds KfW will invest in various fixed incomes securities
Transparent process of − Sovereigns and regions
funds allocated and a
competent project selection.
− Supranationals, agencies and other state-owned or partially state-
owned institutions
− Financials
Project description − Corporates
A clear description of the − Covered bonds and „Pfandbriefe“
projects refinanced − ABS (senior tranches only)
(including goals and
projected impact).
An investment-grade rating is mandatory.
Reporting
A frequent public reporting
as well as an independent
Currencies: primarily EUR and USD, but various other European
second party opinion.
currencies possible.
Green Bonds - Made by KfW / May 2019 51Photo credits / references
Title slide: full-page image: gettyImages, plainpicture / Piotr Krzeslak, Cultura
Disclaimer, slide 14:
Slide 5, Picture 1: KfW Photo Archive / Rüdiger Nehmzow
Slide 5, Picture 2: KfW Photo Archive / Angelika Kohlmeier The use by KfW of any MSCI ESG Research LLC Data,
Slide 5, Picture 3: KfW Photo Archive / - and the use of MSCI logos, trademarks, service marks or
Slide 5, Picture 4: DEG / Andreas Huppertz
index names herin, do not constitute a sponsorship,
Slide 7, Picture 1: KfW-Photo Archive / photothek.net
Slide 7, Picture 2: KfW-Photo Archive / Jürgen Lösel endorsement or promotion of KfW by MSCI or any of its
Slide 7, Picture 3: KfW-Photo Archive / Frank Blümler affiliates. MSCI services and data are the property of
Slide 7, Picture 4: KfW Photo Archive / photothek.net
Slide 7, Picture 5: KfW Bankengruppe / Jens Steingässer MSCI or its information providers. MSCI and MSCI
Slide 7, Picture 6: KfW-Photo Archive / Charlie Fawell
research names and logos are trademarks or service
Slide 9: KfW Photo Archive / Jens Steingässer
marks of MSCI or its affiliates
Slide 11, Picture 1: thinkstock / Top Photo Corporation
Slide 11, Picture 2: Fótolia / Olivier Le Moal
Slide 11, Picture 3: KfW-Photo Archive / Thomas Klewar
Slide 11, Picture 4: KfW-Bildarchiv / photothek.net
Slide 12: KfW-Photo Archive / Thomas Futh
Slide 16: : gettyImages, plainpicture / Piotr Krzeslak, Cultura
Slide 20, Picture 1: NOTUS energy / FRICKE Film
Slide 20, Picture 2: HP-T Höglmeier Polymer-Tech GmbH & Co. KG / Werner
Röthlingshöfer
Slide 20, Picture 3: KfW-Photo Archive / Claus Morgenstern
Slide 20, Picture 4: KfW-Photo Archive / Claus Morgenstern
Slide 44: Deutscher Bundestag / Lichtblick / Achim Melde
Slide 45: Freunde des Hauses / gettyImages
Slide 48: full-page image: gettyImages, plainpicture / Piotr Krzeslak, Cultura
Slide 50: KfW-Photo Archive / Charlie Fawell
Green Bonds - Made by KfW / May 2019 52Contacts
Treasurer of KfW: Ext. KfW Bankengruppe
Dr. Frank Czichowski - 2165 Palmengartenstrasse 5–9
60325 Frankfurt am Main
Treasury:
Markus Schmidtchen - 4783 Phone +49 69 7431 - Ext.
Fax +49 69 7431 - 3986
Capital Markets:
Petra Wehlert - 4650 investor.relations@kfw.de
Otto Weyhausen-Brinkmann - 4652
Alexander Liebethal - 4656 Bloomberg: KfW
Investor Relations:
www.kfw.de/investor-relations
Jürgen Köstner - 3536
Frederike Reimer - 3016
Dorota Reiter - 8537
Sign up here for our
Serviceline - 2222 newsletter service
Green Bonds - Made by KfW / May 2019 53Notes Green Bonds - Made by KfW / May 2019 54
Notes Green Bonds - Made by KfW / May 2019 55
Back-up Folien
www.kfw.de/green-bonds
Disclaimer
This document is provided for information purposes only. This document may not be reproduced either in full or in part, nor may it be passed on to another party. It constitutes neither an offer nor an
invitation to subscribe or to purchase securities, nor is this document or the information contained herein meant to serve as a basis for any kind of obligation, contractual or otherwise. In all legal
systems this document may only be distributed in compliance with the respective applicable law, and persons obtaining possession of this document should familiarise themselves with and adhere to
the relevant applicable legal provisions. A breach of these restrictions may constitute a violation of US securities law regulations or of the law applicable in other legal systems. The information
contained in this document is historical and speaks only as of its date. KfW disclaims any intention or obligation to update or revise the information contained in this document. By accessing this
documentGreen
you acknowledge
Bonds - Madeacceptance
by KfWof/ these terms.
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