Purchases of covered bonds

To mitigate the effects of the corona pandemic on the Swedish economy, the Riksbank intends to purchase securities in an amount of up to SEK 500 billion, up to 30 June 2021, in addition to the purchases planned prior to the pandemic. The purchases are aimed at keeping interest rates in general at a low level and contributing to an efficient supply of credit. 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 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.  

This is a new measure, and 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.

Figure: Holdings of covered bonds

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

Change in holdings of covered bonds
  SEK billions
Outstanding volume 31 August 2020 125
New purchases in September 2020 20
Maturing volume in September 2020 0
Outstanding volume 30 September 2020 145


Purchases of covered bonds

Here, we present the Riksbank’s total purchases of covered bonds. Until 31 December 2020, the Riksbank is offering to purchase covered bonds for SEK 210 billion

Figure: Purchases of covered bonds

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


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Updated 19/10/2020