Economic policy
More KfW funding billions – also because of the heating law
Ultimately, in 2024 there was more money from the support bank to support companies and private individuals than a year earlier. This was also due to a law that is disputed again in the election campaign.
In the politically controversial promotion of climate -friendly heating, the state KfW has been significantly more demand since the end of 2024. By the end of December, promises for 227,000 granting applications, especially for heat pumps with a total volume of around 3.3 billion euros, had been granted.
The demand in the area of heating funding continues in the new year, as the CEO of the support bank, Stefan Wintels, reported in Frankfurt: As of January 31, 2025 . The heating law is well received, said Wintels.
Union wants to abolish Habeck’s heating law
With the heating law- officially building energy law- the Federal Government still wants to promote the installation of climate-friendly heating and promote the exchange of old gas and oil heating. The version of the law brought on the way by Economic Minister Robert Habeck (Greens) has been in retrospect since January 1, 2024. The Union has repeatedly announced that they want to abolish the Reformed Heating Act.
“It is clear that affordable housing also includes affordable heating. There are uncanny many people who are already fighting today to pay their heating bill,” said the board member Katharina Herrmann responsible for the KfW inland business. “Against the background alone, this topic will not disappear. And the oil and gas costs tend to increase rather than decrease. So the pressure to support here will continue to exist regardless of government coalitions.”
More funding from the KfW
The thrust in the event of heating funding in the final quarter also contributed to the fact that the funding amount of the KfW borne by the federal and state governments ultimately exceeded the value of 2023: the KfW banking group was sufficient for 112.8 billion euros in the past year and thus a little more as a year earlier (111.3 billion euros). After nine months, the funding amount was still significantly below the level of the same period last year.
In the new year, the KfW plans to use at least 500 million euros from its own resources to improve the conditions of funding products for customers. This is the highest value in more than ten years.
The institute provides medium -sized companies, house builders and students with low -interest loans in the traditional funding business. There are also export and project financing, the promotion of developing and emerging countries and the daughter KfW Capital for investments in start-ups.
Focus on Germany as a business location
“In the coming years, we will check our activities even more precisely whether they will provide Germany’s competitiveness,” announced KfW boss Wintels. “We need an investment offensive in our infrastructure and education, a reduction in bureaucracy and significantly improved regulatory and tax framework conditions.”
It is uncertain which requirements the KfW will get from a new federal government. “I cannot yet make a binding statements about the middle equipment in 2025,” said Wintels.
If you have a funding commitment from the KfW to install a new heating, you don’t have to worry, as the sponsoring bank emphasizes: the money comes – no matter how in Berlin the course is set in the heating law.
Balance of the 2024 Business and funding numbers Press releases KfW KfW on Q3/2024 Federal Government on the Building Engineering Act
dpa
Source: Stern
