KfW has issued its first high-volume benchmark bond as a central register security under the German electronic securities act (eWpG). The bond, valued at €4 billion with a 2.75 per cent coupon and a maturity of three years, will settle on 2 July. The issuance was facilitated by Clearstream, the post-trade arm of Deutsche Börse Group, via its digital securities platform D7.

This marks KfW’s second digital transaction on the D7 platform, following a €20 million pilot issuance in December 2022. Tim Armbruster, treasurer at KfW, highlights the benefits of digital issuances, noting improved data generation, faster processes, and enhanced scalability.

Jens Hachmeister, head of Issuer Services & New Digital Markets at Deutsche Börse, celebrates the milestone, stating that D7 has processed over 35,000 digital issuances across all financial instruments, totalling approximately €3.5 billion.

PostTrade 360 Nordic 2024