Purchases of covered bonds

To mitigate the effects of the corona pandemic on the Swedish economy, the Riksbank purchased securities in an amount of up to SEK 700 billion, from March 2020 until 31 December 2021, in addition to the purchases planned prior to the pandemic. The purchases aimed at keeping interest rates in general at a low level and contributing to an efficient supply of credit. During the first quarter of 2022, the Riksbank's purchases will focus on compensating for securities that mature. The scope of the purchases will thus be adjusted so that the total holding develops in a way that contributes to monetary policy being well balanced. The currently applicable purchases include inter alia covered bonds (mortgage bonds).

The Riksbank’s purchases concern covered bonds (mortgage bonds) issued in Swedish kronor by Swedish credit institutions with maturities of more than one year.

Like the purchases of government bonds, the purchases of covered bonds will be made on the secondary market. Allowed participants in these auctions are the Riksbank’s monetary policy counterparties. More detailed information can be found in the documents under “Related content” below.  

The first purchase of covered bonds was made on 25 March 2020.

Holdings of covered bonds

Here we present the Riksbank’s total holdings of covered bonds. The holdings are the net total of covered bonds purchased, which is to say the total sum of bonds purchased, minus bonds that have fallen due at that point in time. The holdings are reported in nominal terms and are based on the transaction date for the Riksbank's purchase of the bonds.

Holdings of covered bonds

Figure: Holdings of covered bonds

The diagram shows the Riksbank’s total holdings of covered bonds within the scope of the Riksbank’s programme for asset purchases. The figures are stated in SEK billions. Source: Sveriges Riksbank.

Change in holdings of covered bonds
  SEK billions
Holdings per 30 November 2021 419.4
New purchases in December 2021 12
Maturing volume in December 2021 -25.8
Holdings per 31 December 2021 405.6

 

Purchases of covered bonds

Here, we present the Riksbank’s total purchases of covered bonds. Until 31 December 2021, the Riksbank purchased covered bonds for SEK 435 billion. During the first quarter of 2022, the Riksbank intends to purchase covered bonds issued in Swedish kronor by Swedish credit institutions for a nominal amount of SEK 12 billion.

Purchases of covered bonds

Figure: Purchases of covered bonds

The diagram shows the Riksbank's total purchases of covered bonds at each respective point in time since the measure was initiated in March 2020. The figures are stated in SEK billions. Source: Sveriges Riksbank.

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Updated 17/01/2022