Purchases of municipal bonds

To mitigate the effects of the coronavirus pandemic on the Swedish economy, the Riksbank increased its purchases of securities from March 2020 until 31 December 2021 with a total envelope of SEK 700 billion, in addition to the purchases planned prior to the pandemic. The purpose of the purchases was to keep general interest rates low and facilitate credit supply. The Riksbank intends to decrease its purchases of securities with three quarters during the second half of 2022 compared to the purchases made during first six months. The Riksbank’s assessment is that its holdings of securities should decrease slightly during 2022. The current purchases include municipal bonds, among others.

The Riksbank’s purchases concern bonds issued by Swedish municipalities and regions and by Kommuninvest i Sverige AB.

The purchases are made on the secondary market. The Riksbank’s monetary policy counterparties can participate in these auctions. More detailed information can be found in the documents under “Related content” below. 

The first purchase of municipal bonds was made on 28 April 2020.

Holdings of municipal bonds

Here we present the Riksbank’s total holdings of municipal bonds. The holdings are the net total of municipal 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.

Figure: Holdings of municipal bonds

The diagram shows the Riksbank’s total holdings of municipal bonds. The figures are stated in SEK billions. Source: Sveriges Riksbank.

Change in holdings of municipal bonds
  SEK billions
Holdings per 31 August 2022 120.7
New purchases in September 2022 1
Maturing volume in September 2022 -0.1
Holdings per 30 September 2022 121.7

Purchases of municipal bonds

Here, the Riksbank’s total purchases of covered bonds is reported. By 31 December 2021, the Riksbank had purchased municipal bonds for SEK 109 billion. During the second half of 2022, the Riksbank intends to purchase bonds issued by Swedish municipalities and regions and by Kommuninvest i Sverige AB for a total nominal amount of SEK 6 billion.

Purchases of municipal bonds

Figure: Purchases of municipal bonds

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

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Updated 03/10/2022