Orange blog - Innovation

Municipal interest rate and asset management in an era of digital platforms

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In recent years, rising tax revenues and falling interest rates have boosted the fiscal position of many German municipalities. However, the Covid-19 pandemic threatens to reverse this positive trend. Our study "Kommunales Zins- und Anlagemanagement in Zeiten digitaler Plattformen" (municipal interest rate and investment management in times of digital platforms), which the KOWID (Centre of Competence for Public Economy, Infrastructure and Public Interest) at the University of Leipzig conducted in collaboration with ING, komuno and Giro Solution (Sparkassen-Finanzgruppe) shows the challenges facing municipalities in relation to interest rate and debt management and the role that digital brokerage platforms will play. The study was sponsored by the Deutscher Städte- und Gemeindebund (German Association of Towns and Municipalities).