Reports consist of recurring reports on Danmarks Nationalbank’s areas of work and activities. Here you will find Danmarks Nationalbank’s annual report, among other documents. Reports are targeted at people who need a status and update on the past period.
Central government borrowing and debt 2024
Central government debt fell to a historic low of kr. 217 billion, equivalent to 7.4 per cent of GDP in 2024. Interest costs remained low at a total of kr. -0.3 billion and the yield spread to Germany became negative during the year. The highest possible credit rating of AAA has been retained with a stable outlook. Consolidation remained a key focus to maintain a well-functioning and liquid government securities market. In February, a new 2-year government bond was opened and in September a 2-year euro denominated bond was issued under the government's EMTN programme. Robust risk management has continued to stabilise the government's interest rate and market risk. Combined with the solid Danish economy, the Danish government enters 2025 in a strong position for managing government debt.
Key messages
Why is it important?
The publication Central government borrowing and debt is Danmarks Nationalbank's annual report on central government debt. There can be several reasons why a state incurs debt. For example, it could be due to refinancing of existing debt or public investment costs. In Denmark, Danmarks Nationalbank manages the central government debt on behalf of the Minister of Finance.
Main chart
Historically low central government debt and interest costs
Note:
Denmark's central government debt as a share of GDP (left axis) and government interest costs (right axis). Calculated at year-end.
Source:
Danmarks Nationalbank.