LBBW and Swiss Re launch risk sharing programme for infrastructure financing

LBBW, one of the largest banks in Germany, and Swiss Re Corporate Solutions, one of the world's leading credit and political risk insurers, have launched a risk sharing programme in the amount of EUR 300 million. This will enable LBBW to continue its growth efforts in the financing of infrastructure and renewable energies.

Efficient infrastructure for traffic, transportation, energy and communication is the basis for economic growth. The expansion of infrastructure financing is therefore essential for the global economy. Infrastructure financing is an important growth market for LBBW. Through its cooperation with Swiss Re LBBW is further expanding its activities in this area.

The new IRPP of LBBW and Swiss Re has a total volume of EUR 300 million. It focuses on risk sharing as a central instrument and thus expands the financing framework for companies. Under the IRPP, LBBW will arrange and implement infrastructure financing, with Swiss Re participating in the credit risk. Pre-agreed criteria enable a quick decision on risk sharing between the two partners. At the same time, the preparation of offers and financing commitments can be accelerated.

Wide range of applications for infrastructure financing

Financing instruments for which the IRPP can be used are primarily project and asset-backed financing, investment loans, corporate financing and Schuldscheindarlehen (promissory notes). The focus sectors for financing are digital and social infrastructure, transport and renewable energies.

The global activities of the two partners enable the IRPP to be used for infrastructure financing both nationally and internationally. LBBW and SwissRe aim to ensure that at least 50 percent of the financing volume meets the criteria of the LBBW Sustainable Finance Framework. This enables LBBW to further expand its sustainable finance volume with the IRPP in line with its ESG strategy.