Germany to announce new bailout package for energy companies

As the current energy crisis deepens, the German government is preparing a new bailout package for energy companies worth about 67 billion euros, Handelsblatt newspaper reports, citing sources in government circles.

According to Report, the German authorities plan to strengthen the capabilities of the German state banking group KfW to provide guarantees and support the liquidity of energy companies. The newspaper says this includes credit permits in the amount of about 67 billion euros. The German Ministry of Finance intends to use the credit powers created for the Economic Stabilization Fund (WSF) during the coronavirus pandemic. Now this fund will be used to support KfW.

This strengthens KfW's refinancing and enhances the banking group's ability to provide stabilization assistance to energy suppliers.