KfW Group has announced its funding plans for 2026, projecting an increase in its total capital market funding to between EUR 75 and 80 billion. Of this amount, up to EUR 15 billion is expected to be raised through the bank’s green bond program, “Green Bonds - Made by KfW.” The institution anticipates surpassing the EUR 100 billion milestone in cumulative green bond issuance since launching its framework in 2014, with this target likely to be reached in the first quarter of 2026.
Tim Armbruster, Treasurer at KfW Group, stated: "We are ideally positioned to raise funds on the international capital markets to enable KfW’s customers to invest in their competitiveness, particularly through measures for climate and environmental action, as well as digitalisation and innovation. We appreciate the trust of investors and want to live up to this in 2026."
In 2025, KfW exceeded its own expectations for green bond issuance. The bank completed 18 green transactions across eight currencies with a total volume of around EUR 14 billion—about 40 percent more than initially planned. This represents a year-on-year increase of roughly 14 percent. While global green bond issuance has declined by about six percent since the start of the year, KfW’s results have moved against this trend.
Petra Wehlert, Head of Capital Markets at KfW, commented: "The disbursements in the loan programmes and selected individual financing measures underlying our green bonds, along with the demand from the capital markets, indicate that both borrowers and institutional investors continue to invest heavily in climate and environmental action. At a time when there is often word of a declining interest in sustainable investments, we consider this result to be very encouraging."
By November 2025, KfW had raised approximately EUR 97 billion through 154 transactions denominated in 14 different currencies under its green bond framework.
KfW is also advancing digitalisation within financial markets by focusing on Distributed Ledger Technology (DLT). In recent years, it issued several digital bonds under Germany’s Electronic Securities Act and made three investments in DLT-based securities during 2025. Additionally, it issued two bonds using digital central bank money denominated in Swiss francs. The institution published a whitepaper on DLT-based capital markets with input from project partners such as KPMG.
KfW supports initiatives like Regulated Layer One (RL1), which aims to create interoperable blockchain infrastructure for digital assets across Europe. This effort is intended to improve scalability and strengthen Europe’s digital sovereignty within the financial sector.
Looking ahead to next year, KfW plans further work on standardising processes related to DLT-based securities issuance. It intends to issue another DLT-based bond focusing on payment processing and interoperability testing while exploring automation potential throughout security life cycles using smart contracts.
Tim Armbruster added: "I am convinced that we will achieve the necessary standardisation to unlock scalability potential through openness to innovation and intensive cooperation – across borders, sectors and technologies. In this way, we are strengthening Europe’s digital sovereignty and resilience."
For the current year ending November 30th, KfW successfully raised about EUR 71 billion from capital markets despite global uncertainties including political tensions and currency fluctuations. The bank remains a key issuer of euro-denominated bonds—raising about EUR 41 billion—and is considered a pricing benchmark for other issuers within the sovereigns/supranationals/agencies (SSA) segment.
In US dollars, KfW achieved funding volumes totaling USD 18.7 billion; one notable transaction was a three-year benchmark bond issued at +3.2 basis points over comparable US Treasury securities—the lowest spread ever achieved by KfW for such an instrument.
KfW also diversified its offerings by issuing bonds in ten different currencies during the year—including re-entering the Swiss franc market after fifteen years—and maintained its status as Australia’s largest foreign issuer of green bonds (“green kangaroos”).
More information about KfW's funding activities can be found on their official website.