DEG invests in profitable projects that contribute to sustainable development in all sectors of the economy, from agriculture to infrastructure and manufacturing to services. We also focus on investments in the financial sector in order to facilitate reliable access to capital locally
DEG, a subsidiary of KfW, is one of the largest European development finance institutions for long-term project and company financing. For 50 years, DEG has been financing and structuring the investments of companies in developing and transition countries in order to contribute to sustainable progress.
Founded in 1962 by the first German Minister for Development, Walter Scheel, and the former Minister-President of the German state 'Schleswig-Holstein', Kai Uwe v. Hassel, DEG has been working for 50 years on improving the living conditions of the people in its partner countries. In order to do so we advise private companies and finance promising private sector investments. We do this almost entirely with DEG's own funds rather than funds of the Federal Government.
An important part of the German development cooperation
DEG invests in profitable projects that contribute to sustainable development in all sectors of the economy, from agriculture to infrastructure and manufacturing to services. We also focus on investments in the financial sector in order to facilitate reliable access to capital locally. To date, we have worked together with more than 1,600 companies. Our current portfolio of more than 5.6 billion euros has contributed to an overall investment volume of around 39 billion euros.
The private sector development cooperation is an important part of the German development cooperation: successful and long-living private companies generate growth in our cooperation countries. They create jobs and income. They improve the balance of foreign exchange payments by producing competitive goods and they increase tax revenues by processing resources directly within a country rather than exporting them.
DEG promotes private sector activities in developing countries in multiple ways: We are a dependable financing partner for private companies. And we pay attention that their investments have substantial positive effects. In doing so, DEG contributes to achieving the Millennium Development Goals - the joint commitment of industrialized and developing nations to combat poverty in a sustainable manner.