DEBTELLIGENCE has been developed in cooperation with the German finance ministries during the last 3 years and is now a fully operational, well tested and highly flexible system for planning, simulation and risk management.

The key elements of DEBTELLIGENCE can be summarized as follows:

• State-of-the-art database technology (SQL), providing strong support for risk analysis and simulation
• Very advanced cash flow projections including all refinancing transactions
• Consideration of short and long term financing needs, thereby enabling the finance ministries to focus on current interest expenses AND manage the risks of rising future interest rates
• Full support for use of derivatives to manage risks – e.g. through “overlay” programs
• Powerful reporting features that “visualize” the cost/risk profile and thus provides timely and relevant decision support information, also to a non-expert audience.

Although the full-scale version of DEBTELLIGENCE has only recently been taken into use, results are already showing. The finance ministry in Schleswig-Holstein argues that DEBTELLIGENCE has made the whole debt management process very transparent and has significantly reduced the workload in preparing, implementing and controlling the running budget, and that it has also enhanced communication with the Parliament.

The use of DEBTELLIGENCE may release a considerable optimisation potential in the management of public debt and thereby significantly reduce interest costs – which could (hopefully) pave the way for long-awaited tax cuts within the Euro zone.

Experiences so far show that the finance ministries can save on average between 10 and 20 BASISPOINTs on their interest expenses. The refinancing needs in Germany amounts to over 200 billions EURO yearly. With an average maturity of 5 years, this would imply yearly savings between one and two billions EUROs.

BASISPOINT expects to install DEBTELLIGENCE at a number of additional finance ministries in Germany within the next couple of years, giving us a solid foundation for expansion into other countries within as well as outside the Eurozone.

Now announcing: The 2004 "Benutzertreffen"!