German Investment Corporation
|Products||Feasibility Studies, Equity Financing, Advisory Services, Loans, Consulting|
|Total assets||Equity Capital €1.80 billion (2012)|
Number of employees
Deutsche Investitions- und Entwicklungsgesellschaft (DEG) translates into German Investment and Development Corporation. DEG is a subsidiary of KfW. It was founded in Cologne in September 1962 as a federally owned company. Its headquarters is located in Cologne. In 2012, DEG employed a staff of more than 473, both in Germany and abroad. DEG made financial commitments with a total of EUR 1.33 billion in 2012 and total assets were at EUR 4.6 billion. Profit for the financial year was EUR 129 million. Funds at own risk represented the largest part of the 2012 portfolio (98.6%), whereas the remaining 1.4% was accounted for by financings on behalf of the Federal Republic of Germany (trust business). Since its foundation, DEG has cofinanced almost 1,300 companies in more than 120 countries and committed a total of around EUR 7 billion.
Tasks and products
DEG finances investments of private companies in developing and emerging economies. As one of Europe's largest development finance institutions, it promotes private business structures to contribute to sustainable economic growth and improved living conditions in these countries. Its focus in on project and corporate finance in Africa, Asia, Latin America as well as in Central, Eastern and South-Eastern Europe. Its financing products, which are offered at market-oriented conditions, comprise
Furthermore, DEG offers advisory services. These are offered to both companies investing and to institutions aiming at the promotion of private-sector cooperation in the partner countries. In addition to its finance and advisory services, DEG as one of the three official partners implements the special programme develoPPP.de of the Federal German Ministry for Economic Co-operation and Development (BMZ). develoPPP.de targets companies that invest in developing and emerging countries and are seeking ways to shape their corporate commitment in the long term. These PPP funds are mainly used for projects in the fields of environment, training and upskilling, and workplace security and for outstanding pilot projects. As part of the German development cooperation, DEG also contributes to the achievement of the international Millennium Development Goals, especially to poverty reduction by creating jobs and providing income in less developed and rural regions.
DEG closely coordinates its promotional activities with other European development finance institutions, many of which have joined in the association of the European Development Finance Institutions (EDFI). Further cooperation partners of DEG are the International Finance Corporation (IFC), a member of the World Bank, the European Bank for Reconstruction and Development (EBRD), as well as numerous local and regional development companies. The pooling of financing capacities and in-house knowledge leads to broader developmental efficacy and greater sustainability.
- KfW IPEX-Bank GmbH - Provides project and corporate finance and offers trade and export finance in Germany and abroad.
- DEG - Deutsche Investitions- und Entwicklungsgesellschaft mbH - Promotes private sector initiatives in developing and emerging countries.
- tbg - Technologie-Beteiligungs-Gesellschaft mbH - Currently, solely focused on previous commitments.
- FuB - Finanzierungs- und Beratungsgesellschaft mbH (FuB) - handling of special tasks associated with the German reunification.
- dena - The Deutsche Energie-Agentur GmbH (dena), a 26% subsidiary of KfW Bankengruppe, promotes the rational and environmentally friendly production and use of energy including renewable energies.
- Federal Republic of Germany
- PROPARCO, French DFI
- Netherlands Development Finance Company (FMO), Netherlands DFI