By Emese Bartha
The Netherlands' total borrowing requirements will amount to 112 billion euros ($131.48 billion) in 2026, the Dutch State Treasury Agency said in its borrowing program on Friday.
This amount will finance 28.8 billion euros in capital market redemptions and 41.0 billion euros in cash deficit in 2026, while the money market ultimo at the end of the current year is expected at 42.2 billion euros, it said.
"Given the degree of uncertainty in estimates over previous years, the DSTA has made an adjustment in the estimated cash deficit, aiming to prevent large downward revisions in the borrowing requirement throughout 2026," the DSTA said.
The DSTA penciled in 50 billion euros in government bond, or DSL, issuance next year.
Issuance in 2026 will mark the first year under the new policy framework debt management, the DSTA said. Issuance in 2026 will contribute to the DSTA's goal to slightly shorten the average maturity of the debt, swap and cash portfolio to a minimum of 7.5 years, it said.
In a bid to stimulate liquidity in the DSL market, the DSTA has decided to increase the minimum outstanding volume target for new DSLs with a maturity of up to and including 10 years to 15 billion euros from 12 billion euros. For maturities shorter than 10 years, this volume must be reached within 12 months of the initial issuance, while for the 10-year benchmark the 15 billion euros target must be reached within the calendar year, it said.
The DSTA plans to launch a new 10-year DSL via Dutch Direct Auction, or DDA, with maturity in July 2036 with an initial issue size of 6 billion euros to 7 billion euros. It also plans a new benchmark with a maturity more than 10 years via DDA. A new five-year DSL with maturity in January 2031 will be issued via an auction on Jan. 13 with an initial issuance of 4 billion euros to 5 billion euros.
Write to Emese Bartha at emese.bartha@wsj.com
(END) Dow Jones Newswires
December 12, 2025 10:43 ET (15:43 GMT)
Copyright (c) 2025 Dow Jones & Company, Inc.
Comments