The National Bank of Denmark published its annual report on Denmark’s central government borrowing and debt, showing central government debt declining to DKK 217 billion, or 7.4% of GDP, in 2024. The report also records low interest costs of DKK -0.3 billion and notes that Denmark retained its AAA credit rating with a stable outlook. During the year, the yield spread to Germany turned negative. To support a well-functioning and liquid government securities market, issuance activity included opening a new 2-year government bond in February and issuing a 2-year euro-denominated bond in September under the government’s EMTN programme; the report also highlights continued risk management aimed at stabilising the government’s interest rate and market risk.
National Bank of Denmark 2025-02-06
National Bank of Denmark reports central government debt falls to a historic low of DKK 217bn in 2024
The National Bank of Denmark's annual report reveals a decline in central government debt to DKK 217 billion, or 7.4% of GDP, in 2024, with low interest costs and a maintained AAA credit rating. The report also notes a negative yield spread to Germany and details issuance activities, including new 2-year bonds, to support market liquidity and manage interest rate and market risk.