German state-owned development bank Kreditanstalt fuer Wiederaufbau (KfW) launched its first non-German transaction from the PROMISE securitization program at the end of December.

Last year, a total of 11 new transactions were completed under KfW's PROMISE and PROVIDE programs - more than double the total amount completed in the two preceding years. "Our two securitization programs have become firmly established in the market," said Hans Reich, chairman of KfW's board of managing directors. "The standardization of both programs has led to a high degree of acceptance on the part of investors, so that now we can say that our securitization instruments are a great success. The securitization volume which we have now achieved reaffirms our assumption that, for typical promotional loans, the instrument of securitization is of major importance for the yield and risk management of many banks."

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