Danish government securities are primarily issued at auctions supplemented with tap sale. Government bond auctions are held regularly, while treasury bill auctions, as a general rule, are auction on the second last trading day of each month. New securities are always opened via auctions.
In addition, the government has a switch facility that gives market participants the opportunity to exchange existing government securities to new on-the-run securities at market prices. In 2020, two switch operations will be held each month. The central government also buys back securities directly from the market. Buy-backs from the market can be conducted in all domestic and foreign papers, although on-the-run issues are excepted as a general rule.
Only banks that have concluded primary dealer agreements with the central government can be direct part of issuance and buy-backs. Other participants in the Danish government securities' market use the secondary market and submit bids through one of the primary dealers at the auctions.