Primary market

The Federal Government covers more than 90 percent of its funding needs via one-off issues on the primary market. The bonds are generally issued as part of a tender/auction process in which financial institutions are able to participate once they are accepted into the Bund Issues Auction Group.

Over 90 percent of the Federal Government's funding needs are covered via one-off issues as part of the auction process. The exact issuance plan is published in advance for the entire calendar year.

Special funding tools, such as the US-dollar bonds issued in 2005 and 2009 or the Bund-Laender-Anleihe issued in 2013, are placed by the Federal Government on the primary market via a banking consortium.

The one-off issues planned by the Federal Government are announced at the end of each year in its annual preview for the following calendar year. Since 2013, this annual preview has also included a detailed issuance calendar for the forthcoming year complete with exact auction dates so as to enable investors to plan their activities with even greater certainty.

To a far lesser extent, the Federal Government also obtains funding from promissory notes concluded individually with financial institutions on a sporadic basis as well as German Government securities holdings sold on the secondary market following an auction.

Issuance structure (%) of nominal interest-bearing German Government securities

The proportion of short-term securities issued, which increased markedly in 2009, declined almost steadily in the following years. Parallel to the discontinuation of the 12-month Bubills in 2017 it marked a minimum. By the introduction of a new issuance pattern for and therewith reopenings of 6-month Bubills the share of money market securities is heading towards the higher multi-year average of about a quarter. The issuance structure of the capital market securities itself shows a stable pattern during the presented time frame that even during the tense financial market situation around 2009 remained almost unchanged. Here the 30-year Bunds show a relative stable increase of issuance share between 2013 and 2018. Since 2016 their share exceeds the multi-year average of around 4 % (2020: planned numbers; Due to roundings, the sums may deviate from 100 %.)

Issuance volume (EUR billion) of German Government securities