Commerzbank plans to commit billions more euros to Germany's cash-strapped small- and medium-sized enterprises (SMEs), continuing a drive started earlier this year.
Nicholas Teller, head of corporate banking, said a further Ђ1bn ($1.13bn) would be made available later this month, and promised the German bank would also become active in the securitisation market in order to free further capital for SME lending.
"Come another Ђ4bn-Ђ5bn of lending, we'd wish to move into securitisation mode. I'd wish to be in the position where we can recycle capital more frequently," he said.
The declaration refers to Germany's True Sale Initiative - a new securitisation platform backed by 13 banks, including state-owned development bank KfW, and expected to get under way by the end of the year.
Mr Teller said Ђ1.6bn of extra SME, or “Mittelstand”, lending had been allocated in the past six months, compared with a pledge in March to lend Ђ1bn.
