On 16 September 2024, the final report of the Financial Industry Initiative on securitisation entitled ‘Strengthening Europe’s competitiveness: seizing the opportunities offered by securitisation’ was presented to the Federal Ministry of Finance (see TSI kompakt dated 16 September 2024). In this report, TSI and Association of German Banks (Bundesverband deutscher Banken, BdB) highlighted the importance of securitisations for the green and digital transformation and for Europe’s competitiveness. The report underlines that securitisations are a key financing instrument for these key challenges.
The Bundestag is going on the offensive
The FDP faction in the German Bundestag has now taken the report as an opportunity for to submit a Written Parliamentary Question. In 13 questions, the faction addresses the federal government and requests statements on topics such as the current securitisation volume, the competitiveness of the German securitisation market compared to the US and other EU countries, and the bureaucratic hurdles and regulatory costs. The focus is also on concrete measures to promote green securitisations and the introduction of a German securitisation law. It also asks specifically whether the German government will follow the measures called for in the report.
The ball is now in the court of the new German government
It remains to be seen what response the German government, which is yet to be formed, will give. However, it is likely that the current government will not address the issue any further – instead, the ball remains in play. Whether and how the future government takes up the ball will be crucial for the future of the German and European financial markets. One thing is clear: the issue of securitisations remains on the political agenda, and we hope for a regular season without extra time.