To finance climate protection, the CSU proposes to issue a government bond with savings of two percent a year for savers. "Climate protection now needs billions in investments in climate-friendly technologies," said CSU Country Group chief Alexander Dobrindt the Picture on Sunday, "That's why we want to encourage and reward citizen investments in climate protection with guaranteed positive interest rates."
Dobrindt called for a so-called climate bond "with a government guaranteed return of two percent per annum and a term to 2030". The ten-year bond is to be issued by the state-owned KfW banking group.
"We have a real chance for a broad citizen movement for the climate, I want positive interest rates for climate investment and no negative interest rates on money destruction," Dobrindt said.
CSU boss Markus Söder had demanded this week a ban on negative interest rates for small savers. "As a Free State of Bavaria, we will launch an initiative in the Bundesrat that amounts up to 100,000 euros are basically excluded from such punitive interest," said the Söder. "Saving must be rewarded and not punished."
Credit institutions in the euro area currently have to pay 0.4 percent negative interest when they park money with the European Central Bank. So far, only a few financial institutions pass on these interest rates to private customers for particularly high credit balances on the giro or overnight money account.