KfW (formerly KfW Bankengruppe) is a state-owned development bank designed to assist developing countries and the German economy. The bank lends to small and midsized enterprises (SMEs) and buys securitized SME loan portfolios from German banks to keep that area of lending robust. It also provides funds for housing, infrastructure, environmental protection, and venture capital. Additionally, KfW finances telecommunications, transportation, energy infrastructure, and industrial projects worldwide. The bank receives funds from the federal budget, as well as through investments in the domestic and international capital markets. The German government owns 80% of KfW; the L�nder, or German states, own the rest.