Describe your business model (including type of company, products / services)
Landwirtschaftliche Rentenbank is Germany’s development agency for agribusiness and rural areas with a statutory promotional mandate. Due to its status as a central funding institution, it operates in a competitively neutral way at all times. Our range of products is geared towards businesses operating in the agriculture, forestry, viticulture and horticulture sectors, manufacturers of agricultural production resources, and enterprises and service providers which are closely connected to agriculture. In addition, we finance projects in the food industry and the associated upstream and downstream industries, across the entire value chain of food production. We also promote private initiatives and public-sector investments in rural areas. We attach particular importance to promoting innovation and sustainable investments including renewable energy.
Our promotional business involves providing special promotional loans to end borrowers via their local banks. We also refinance savings banks and local authorities which are connected to rural areas. Furthermore, we award grants for innovations and applied research projects, as well as for projects and institutions that are of particular importance to agribusiness and rural areas. Through its annual call for research papers, Rentenbank’s foundation Edmund-Rehwinkel-Stiftung encourages research on current issues affecting agribusiness. In addition, the foundation provides grants to outstanding students (studying for their master’s degree at a German university) who focus on agriculture or food sciences.
We fund our promotional business in the capital markets by issuing securities and raising loans. Rating agencies have assigned their highest ratings (AAA and Aaa) to Rentenbank’s long-term obligations.
Rentenbank was established in 1949 as a central funding institution with a statutory promotional mandate. Rentenbank’s founding capital was raised through a public charge imposed on agricultural land in Germany from 1949 to 1958. The Bank is a federal institution under public law with its registered office in Frankfurt am Main. The Federal Republic of Germany guarantees for the Bank’s liabilities and bears the institutional liability.
Rentenbank is subject to banking supervision by the Federal Financial Supervisory Authority (Bundesanstalt für Finanzdienstleistungsaufsicht, BaFin) and the Bundesbank. Legal supervision is exercised by the Federal Ministry of Food and Agriculture (BMEL), acting in concert with the Federal Ministry of Finance (BMF). Rentenbank is a member of the Association of German Public Banks (Bundesverband Öffentlicher Banken Deutschlands e.V., VÖB) and of the European Association of Public Banks (EAPB).