The banks' business with domestic and foreign
customers by category of banks

International operations are far more important for the commercial banks and Landesbanks than for the other categories of banks. The commercial banks have traditionally had a strong international orientation because a large proportion of their customers are engaged in cross-border business. Moreover, they have succeeded in establishing a strong position in the eurozone money market. In consequence cross-border positions make up almost 40% of their assets.

Table: The banks' business with domestic and foreign
customers by category of banks

But cross-border positions also account for over one-fifth of the balance sheet total of Landesbanks, mortgage banks and special purpose banks. The relatively high volume of international operations conducted by the Landesbanks is largely explained by the fact that the savings banks transfer the bulk of their customers’ international business to their central banking institutions. The same is true of the relationship between the credit co-operatives and the co-operative central institutions. In consequence, the proportion of domestic business at the savings banks and credit co-operatives is disproportionately high.

The mortgage banks have expanded their international operations considerably in recent years. Loans to foreign non-banks now make up a proportion of their balance sheet total comparable to that of the commercial banks and Landesbanks. As regards securities holdings, the mortgage banks are now the category with the strongest international focus.