"The competition will be fierce but nothing has been decided yet and there's still a long way to go for all the candidates," said Bach as the DOSB unveiled the logo that will accompany its bid on Friday.
"We already have superb sports infrastructure, and the athletes will be in very comfortable conditions. Our candidature meets all the criteria needed to host a modern Olympic Games."
Munich – which staged the 1972 Summer Olympics – Pyeongchang, South Korea and the French town of Annecy were named the three official candidates to host the 2018 Games this week.
The 2010 Games are being held in Vancouver, while the 2014 Winter Olympics will be held in the Russian resort city of Sochi.
The DOSB aim to use some of the infrastructure that has been in use since the 1972 Olympics for the ice sports, while all the snow sports will be held in the nearby ski resort of Garmisch-Partenkirchen.
DOSB chief Bach, who is also a vice-president of the International Olympic Committee (IOC), said Munich's bid has been met with enthusiasm in Germany.
He claimed around 50,000 people voted via internet for the official logo - a blue 'M' representing Munich in the shape of a mountain.