The German Federal Government’s Annual Issuance Planning

At the end of each year the German Federal Government publishes a preview in the form of a press release announcing its plans for the following year’s issuance of Treasury discount paper (Bubills), Federal Treasury notes (Schaetze), five-year Federal notes (Bobls) and Federal bonds (Bunds). The annual preview includes a detailed issuance calendar for the first quarter, stating the date of issue, the maturity of the security and the nominal volume targeted by the German Federal Government for each single issue type.

The annual preview also includes information about the individual issues for the second to fourth quarters, stating the types of security and the nominal volumes, but without fixing the exact maturity date and date of issue. It only indicates the month in which the security is due to be issued and to mature. The missing details of planned issuance for the following quarter are released in the next calendar, which is published in the last third of the month before the start of the respective quarter.

The Federal Government is the only issuer in the world to provide such a detailed preview of its primary market plans, giving investors plenty of time to prepare for forthcoming new issues.
This transparent and credible issuance policy is an important factor contributing to the Federal Government’s benchmark status in the euro zone.
The annual preview does not include details of any plans the Federal Government may have for issuing other funding tools, such as the inflation-linked securities, foreign currency bonds, securitized loans or  permanent issues targeted at retail investors.
The Federal Government’s issuance planning is subject to the proviso that there might still be changes in the amounts and dates. Any revisions that are made will reflect the Government’s borrowing requirements and liquidity position as well as the prevailing conditions in the capital market. However, the German Federal Government aims to adhere as closely as possible to its announced issuance plans in order to provide market participants with the reliable guidance they need to make well-informed investment decisions.