Total value of Dutch institutions’ holdings in foreign govt bonds declines by €23bn

Written by Adam Cadle

02/10/2025

Dutch financial institutions held €531bn in foreign government bonds at the end of June 2025, including those issued by national and local governments, latest data published by De Nederlandsche Bank (DNB) has revealed.

The latest figure marks a decrease from €531bn at the end of 2024 due to price and exchange rate effects.

However, institutions also repurchased €18bn worth of sovereign debt during the first half of the year, which helped mitigate the decline in total holdings. The largest purchases were made in German government bonds (€11.5bn), followed by Spanish (€1.7bn) and Indian (€1.7bn) government paper.

The largest declines in value were observed in government bonds from Germany (-€5.4bn), France (-€2.4bn), and Austria (-€1.6bn).

Dutch institutions hold a significant portion of their foreign sovereign debt in euro area countries, with French and German bonds alone accounting for one-third of total holdings. As a result, falling bond values in the euro area have had a relatively strong impact on Dutch portfolios.

In contrast, the most notable increases in value over the past six months were seen in government bonds from non-European countries, led by the United States (+€1.8bn). Positive price trends were also recorded in Mexico, Brazil, Ecuador, and Thailand, with a combined increase of €853m. Poland was the first European country to show a value increase, with a gain of €120m.

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