Analyses focus on current issues of particular relevance to Danmarks Nationalbank’s objectives. The analyses may also contain Danmarks Nationalbank’s recommendations. They include our projections for the Danish economy and our assessment of financial stability. Analyses are targeted at people with a broad interest in economic and financial matters.
Central government borrowing strategy 2026
The Danish economy is entering 2026 with a strong foundation. Employment has continued to rise throughout 2025, inflation has remained stable, and the economy is in a moderately high boom phase. The central government's financing requirement for 2026 is expected to drop by kr. 32 billion to kr. 109 billion due to low repayments of existing debt. The target for government bond issuance remains unchanged at kr. 65 billion, consistent with previous years. Up to kr. 10 billion of this target will be issued as green bonds. The central government's short-term loan programmes (T-bills and commercial papers) are targeted to amount to kr. 15 billion and kr. 5 billion, respectively, at year-end, with the possibility of significant variation in outstanding amounts during the year. In addition, a short-term bond in foreign currency will be issued under the central government's EMTN programme.
Key messages
Why is it important?
On behalf of the Minister of Finance, Danmarks Nationalbank is responsible for managing central government borrowing and debt. This means that, based on the Danish Finance Act and input from the Ministry of Finance, Danmarks Nationalbank prepares a strategy for central government borrowing so that it covers the central government's annual financing requirement. The strategy is approved by the Ministry of Finance.
The strategy for central government borrowing must ensure that the central government's financing requirement is covered at the lowest possible long-term borrowing costs, taking into account an acceptable level of risk. Furthermore, the aim is to facilitate the central government's access to the capital markets in the longer term, and also that the central government’s issuances should help support a well-functioning domestic capital market.
The strategy for central government borrowing is published twice a year. In extraordinary circumstances, Danmarks Nationalbank may make changes to the strategy outside the biannual publications – this was the case during the pandemic, for example, when the central government's financing requirement rose sharply in a short period of time.