Purchases of municipal 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 efficient credit supply. The current purchases include inter alia municipal bonds.

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. 

This is a new measure, and 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.

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
Outstanding volume 31 March 2020 0
New purchases quarter 2 2020 15
Maturing volume quarter 2 2020 0
Outstanding volume 30 June 2020 15

 

Purchases of municipal bonds

Here we present the Riksbank’s total purchases of municipal bonds. Until 31 December 2020, the Riksbank is offering to purchase municipal bonds for SEK 45 billion.

Figure: Purchases of municipal bonds

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

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Updated 21/09/2020