Germany Plans Record USD600.3B Borrowing in 2026
The agency intends to sell roughly €318 billion ($373 billion) in government bonds with maturities of up to 30 years via auction to the capital markets.
Additionally, the federal government will issue green federal bonds valued between €16 billion and €19 billion ($22 billion).
Next year will also see the debut of a 20-year federal bond, with new borrowing projected at €181.5 billion ($213 billion). “This will be the second-highest figure in the country's history,” the agency noted.
The total planned borrowing marks a record from the financial markets next year, aimed at financing critical investments.
In context, Germany borrowed €500 billion ($586 billion) in 2023 to address the fallout from the COVID-19 pandemic and Russia's war on Ukraine. Borrowing fell to €439 billion ($514.5 billion) in 2024 and €425 billion ($498 billion) this year.
While Germany retains its AAA credit rating, analysts warn that interest costs are expected to rise due to the elevated borrowing levels.
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