Featured statistic: EUR 800 billion

News
Date 7 May 2007

By the end of the fourth quarter of 2006 the outstanding amount in long-term bonds issued by Dutch residents ran to EUR 800 billion. Bond issuance has soared over the past few years. The EUR 700 billion line was crossed during the second quarter of 2005, whereas the EUR 600 billion mark had been crossed in the second quarter of 2004. At end-1996, total bonds outstanding still amounted to less than EUR 250 billion.

The growth of this market runs parallel to the rise of so-called Special Purpose Vehicles. These firms, technically classified as 'other financial intermediaries' are usually created by banks in order to securitise mortgage loans. Over the past ten years, the share of other financial intermediaries in total indebtedness has risen from less than 3% to more than one quarter. In 1996, government bodies used to be responsible for over 60% of outstanding debt securities. But while the share of banks has since then grown from 30% to 43%, that of government has fallen just below one quarter.

Outstanding bonds by issuer economic sector