German investment and development company
| DEG | |
|---|---|
|
|
| Country |
 Germany
|
| Seat | Kämmergasse 22 50676 Cologne |
| legal form | GmbH |
| founding | September 14, 1962 |
| Website | deginvest.de |
| Business data 2018 | |
| Total assets | 5,879 million euros |
| Employee | 630 |
| management | |
| Supervisory board | Norbert Barthle (Chairman) |
| Corporate management |
Monika Beck
|
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As a development bank, DEG - Deutsche Investitions- und Entwicklungsgesellschaft mbH, finances investments by private companies in developing and emerging countries and is a subsidiary of the KfW banking group.
history
The DEG was founded on September 14, 1962 by the then member of the Bundestag and later Federal President Walter Scheel together with the then Schleswig-Holstein Prime Minister Kai-Uwe von Hassel as a federally owned company (originally trading as the German Society for Economic Cooperation mbH ). DEG is based in Cologne ; from its foundation until 2008 it was based in Cologne-Müngersdorf . In September 2008 DEG moved into its new corporate headquarters in downtown Cologne, Kämmergasse 22 ( north-south route ). In September 2017, an extension with an additional 120 office spaces was completed in Agrippastrasse.
Since the company was founded in September 1962, it has been owned by the federal government , and in June 2001 it became a wholly-owned subsidiary of KfW. In addition to refinancing advantages, the takeover also gave rise to strategic location advantages through access to then 70 external offices. Today DEG itself has 13 branch offices worldwide in: Bangkok, Beijing, Istanbul, Jakarta, Johannesburg, Lagos, Lima, Mexico City, Moscow, Nairobi, New Delhi, Sao Paulo and Singapore.
Tasks and products
DEG's task is to promote private-sector structures in developing and emerging countries through long-term project and corporate financing in order to create the basis for sustainable economic growth and a lasting improvement in living conditions. She specializes in corporate and project finance in Africa , Asia , Latin America as well as in Central , Eastern and Southeastern Europe . The financing is granted on market-oriented terms. The financial products include
- long-term loans ,
- Equity ( English equity financing )
- Mezzanine financing ,
- Guarantees ,
- Accompanying measures ( Business Support Services ).
DEG's customers include companies, financial institutions , funds and project financiers (private companies that invest in projects in the infrastructure sector).
Since 2017, DEG has been operating “German Desks” in Bangladesh, Ghana, Indonesia, Kenya, Nigeria and Peru in cooperation with the Association of German Chambers of Commerce and Industry (DIHK) and local partner banks. The bank employees on site support medium-sized German companies and bridge cultural and linguistic barriers.
In addition, DEG also offers consulting services. DEG uses these for investing companies as well as for institutions that aim to promote private-sector cooperation in partner countries.
In addition, DEG supports under the name “develoPPP.de” within the framework of a special program set up by the Federal Ministry for Economic Cooperation and Development (BMZ) for development partnerships with the private sector, measures to prepare and accompany investments. The target group are German and European companies as well as companies in developing and emerging countries in which companies registered in the EU or European citizens hold at least 25 percent of the company shares. The PPP funds are primarily made available for projects in environmental protection, training and further education, job security and for outstanding pilot projects.
In all of its financing, DEG applies the "IFC Performance Standards" including the associated guidelines on "Environmental, Health and Safety". The IFC Performance Standards developed by the International Finance Corporation (IFC) are the most widely used assessment criteria in international development finance .
DEG has developed an independent complaints mechanism so that individuals, organizations and other parties who are of the opinion that they are being adversely affected by a project financed by DEG can be heard and lodge a complaint. An independent body, the "Independent Expert Panel", decides on the admissibility of the individual complaints and is responsible for further processing.
Contribution to the SDGs
As part of the development cooperation of the Federal Republic of Germany, DEG supports the 2030 Agenda with the UN's Sustainable Development Goals (SDGs), including in particular the reduction of poverty by promoting employment and income in underdeveloped and rural areas. The companies co-financed by DEG in 2017 generate 67 billion euros in local income every year and created or secured 1.5 million jobs. 72% of DEG customers actively contribute to poverty reduction (SDG No. 1), 88% of DEG customers to decent work and economic growth (SDG No. 8).
Legal issues
DEG is a credit institution within the meaning of Section 1 (1) KWG . The Federal Financial Supervisory Authority (BaFin) has partially exempted DEG from the provisions of the KWG with a notice of exemption pursuant to Section 2 (4) KWG. Nonetheless, DEG essentially applies the relevant standards of the KWG, in particular the minimum requirements for risk management (BA), in a similar manner.
business development
According to its own information, DEG invested a total of DM 171 million from 1962 to 1972 with funds from the Federal Ministry "BMZ" to set up 120 companies in 40 countries. Mostly joint ventures were concluded with German companies and local partners on site.
New business in 2014 amounted to EUR 1,473 million with total assets of EUR 5,318 million and net income of EUR 164 million. In 2015 the balance sheet total was EUR 5,843 million, in 2017 it was EUR 5,328 million. The capital was in 2017 a total of EUR 2.5 billion.
In the early years, DEG employed around 30 people. At the end of 2007 the number of employees in Germany and abroad was around 380, in 2014 around 499. In 2015 there were 526 and in 2017 around 570 employees.
Cooperations
DEG coordinates its promotional activities closely with other European development finance organizations that have come together under the organizational umbrella of EDFI (European Development Finance Institutions ). DEG's close cooperation partners also include the International Finance Corporation (IFC), the Eastern European development bank , the European Bank for Reconstruction and Development (EBRD) and a large number of local and regional development companies. The aim of these partnerships is to achieve the greatest possible broad-based impact and sustainability in terms of development policy by bundling financing capacities and expertise .
criticism
In 2015, an episode of the WDR series die story dealt critically with the actions of DEG in Zambia . It was criticized that DEG had granted loans to the company (" Zambeef ") without checking whether the funds were necessary and whether the company was doing business with them sustainably. The main allegation was that DEG was thereby indirectly promoting land grabbing .
Web links
- Official website of the German Investment and Development Company
- German investment and development company in the BaFin company database
- DEG: Member of the European Development Financing Institutions (EDFI)
Individual evidence
- ↑ DEG: Christiane Laibach new DEG managing director ( page no longer available , search in web archives ) Info: The link was automatically marked as defective. Please check the link according to the instructions and then remove this notice. , Press release dated February 17, 2015, accessed April 21, 2017
- ↑ Our story. Retrieved on August 23, 2018 (German).
- ↑ Manfred Reinnarth: DEG: New building on Aggripastraße finished on time and on budget . In: Kölnische Rundschau . ( rundschau-online.de [accessed on 23 August 2018]).
- ↑ Our locations. Retrieved August 8, 2017 .
- ↑ DEG: Organigram ( page no longer available , search in web archives ) Info: The link was automatically marked as defective. Please check the link according to the instructions and then remove this notice. , Corporate structure (pdf), accessed on April 21, 2017
- ^ German Desk - Financial Support and Solutions . German investment and development company. Retrieved March 10, 2019.
- ↑ develoPPP.de . German investment and development company. Retrieved March 10, 2019.
- ↑ Our standards. Retrieved on August 23, 2018 (German).
- ↑ Complaint Management. Retrieved August 8, 2017 .
- ↑ Our effects. Retrieved on August 23, 2018 (German).
- ^ DEG: Development Policy Annual Report 2017. DEG - Deutsche Investitions- und Entwicklungsgesellschaft mbH, June 2018, accessed on 23 August 2018 (German).
- ^ DEG: Annual reports 2012–2016 , DEG business results in figures (pdf), accessed on April 21, 2017
- ↑ DEG: Annual financial statements and management report 2017. DEG - Deutsche Investitions- und Entwicklungsgeselschaft mbH, April 2018, accessed on August 23, 2018 (German).
- ↑ DEG, Key Figures , accessed on April 21, 2017
- ↑ Hungry for profit. In: programm.ARD.de . ARD , September 12, 2015, accessed on July 2, 2017 .
- ↑ Caroline Nokel: This is development aid that makes you hungry. In: The Feature. NDR Info , July 2, 2017, accessed on July 2, 2017 .
Coordinates: 50 ° 56 ′ 1.8 ″ N , 6 ° 57 ′ 9.7 ″ E