The Banking Executive Magazine - July 2024 Issue

Eurobonds Global Market Various types of investors have stepped in and compensated for the Eurosystem’s reduced presence. While the Eu- rosystem has not actively sold bonds, it only partially replaced maturing bonds in its monetary policy portfolios. Two sectors have clearly contributed the most to absorbing the new debt since the Eurosystem began to reduce its balance sheet: households and foreign investors. ISSUE 187 JULY 2024 the BANKING EXECUTIVE 11 Size of euro area government bond market and the Eurosystem market footprint (EUR billions and %) Sources: Eurosystem, The Centralised Securities Database (CSDB) Sectoral absorption of government securities in 2023 (%) Sources: European Central Bank