German banking association aims to raise standards of SME securitisation

The Association of German Banks has issued new standards for cash and synthetic securitisations backed by loans to small and medium-sized enterprises (SMEs) in an effort to raise origination and transparency standards and better align the interests of originating banks and investors.

Although SME securitisation has continued throughout the crisis, issuance has been almost wholly structured to access the European Central Bank’s Eurosystem credit operations repo facility.

With the ECB imposing