Lindner: Revitalising the EU securitisation market

Federal Minister of Finance Christian Lindner (pictured) is committed to revitalising the securitisation market in Europe as part of discussions on capital markets union. “In the coming weeks and months, we will take a look at securitisation as an instrument to improve the opportunities for financing business,” promised Lindner in his welcome speech at the German Banking Congress. He emphasised that he wanted to promote innovative developments without undermining the business models of private banks. 

Securitisations rarely present in everyday economic life 

Securitisations are not as present in everyday economic life as they need to be and as they could be. Securitisation is the process by which a lender converts a package of loans or assets into securities, which can then be sold to investors. The investors then receive returns generated from the underlying loans.