The European Central Bank has published new indicators on the currency composition of the euro area’s cross-border assets and liabilities, adding a new measure of the euro’s global appeal. The data show that the euro denominated about two-thirds of euro area cross-border liabilities and one-third of cross-border assets in 2025. They also show the euro’s share of liabilities rising from 54% in 2015 to 66% in 2025, with the decline largely mirrored by a lower US dollar share. The indicators are built from euro area and national international investment position data, supplemented with ECB securities holdings statistics and Bank for International Settlements locational banking statistics. In 2025, cross-border assets excluding reserve assets and liabilities each stood at around EUR 36 trillion. The lower euro share on the asset side leaves the euro area net short in euro and long in foreign currencies, especially USD, a configuration that the ECB says can generate valuation gains when the euro depreciates during external shocks. Euro-denominated liabilities increased by more than EUR 9 trillion over the past decade, with portfolio equity contributing EUR 4.9 trillion and accounting for more than half of the 12 percentage-point rise in the euro’s overall share, while foreign direct investment recorded the largest increase in euro share. The ECB’s correlation analysis links the euro’s higher share in liabilities with a larger supply of euro area government debt, higher interest rates, stronger extra-euro area trade, more favourable business sentiment towards Europe and lower policy uncertainty.
European Central Bank2026-06-02
European Central Bank publishes new indicators showing euro share of euro area cross-border liabilities reached 66% in 2025
The European Central Bank published new indicators on the currency composition of the euro area’s cross-border assets and liabilities, showing the euro denominated about two-thirds of liabilities and one-third of assets in 2025. The euro’s share of liabilities rose from 54% in 2015 to 66% in 2025, largely at the expense of the US dollar, leaving the euro area net short in euro and long in foreign currencies, with potential valuation gains when the euro depreciates. The ECB links the higher euro share in liabilities to increased government debt supply, higher interest rates, stronger extra-euro area trade, improved business sentiment and lower policy uncertainty.