The German Bundesbank published its monthly statistics on securities issuance and investor activity for December 2024, showing weaker bond issuance and net repayments to investors. Domestic debt securities issuance fell to EUR 81.5bn from EUR 108.2bn in November and, after higher redemptions and issuers’ own-portfolio changes, the outstanding volume of domestic bonds decreased by EUR 7.0bn; outstanding foreign debt securities in Germany fell by a further EUR 0.6bn, bringing the net flow back to investors to EUR 7.6bn. By issuer, domestic credit institutions reduced capital market debt by EUR 14.7bn, while the public sector cut bond-market liabilities by EUR 14.2bn as the federal government redeemed mainly two-year Treasury notes and zero-coupon Bubills, partially offset by net issuance of five-, 10- and 30-year federal securities; states and municipalities redeemed EUR 1.9bn net. Domestic corporates issued bonds net of EUR 21.9bn, driven by other financial institutions, while non-financial corporations reduced market debt. On the investor side, domestic non-banks were net buyers of debt securities (EUR 19.4bn) as foreign investors sold German debt securities net (EUR 21.1bn), and the Bundesbank’s bond holdings declined by EUR 5.8bn, mainly due to maturities from its purchase programmes. Equity issuance remained limited at EUR 0.1bn and domestic funds recorded inflows of EUR 12.7bn concentrated in specialised funds.

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