Sweden sells SEK 6 billion of 2036 bonds at average yield 2.684%

Sweden sells SEK 6 billion of 2036 bonds at average yield 2.684%

Sweden Issues SEK 6 Billion in 2036 Bonds at 2.684% Yield
On February 25, 2026, Sweden successfully auctioned SEK 6 billion in nominal government bonds maturing in 2036, achieving an average yield of 2.684%. The issuance aligns with the Swedish National Debt Office’s ongoing efforts to manage public debt and meet borrowing requirements, reflecting broader trends in government bond markets.

The Riksbank has been actively normalizing its balance sheet since 2023, reducing securities holdings through maturities and active sales. Earlier this year, the central bank established a target range of SEK 18–22 billion for its long-term portfolio of Swedish government bonds to ensure liquidity and operational flexibility. This recent bond sale contributes to the Riksbank’s strategy of maintaining a stable securities market while adjusting its holdings to align with monetary policy objectives.

Market conditions have seen Swedish government bond yields rise over the past year. As of December 1, 2025, the 10-year bond yield stood at 2.77%, up 85 basis points annually, reflecting tighter monetary policy and inflationary pressures. The 2.684% yield on the 2036 bonds, while slightly lower than the current 10-year benchmark, indicates strong investor demand for long-dated sovereign debt amid a shifting interest rate environment.

The auction also highlights Sweden’s active bond issuance schedule. In recent months, the country has issued multiple bond tranches, including a SEK 10 billion 2026 bond in February 2026 and a USD 2 billion international bond in October 2025. These actions underscore the government’s focus on diversifying its debt structure and securing funding at favorable rates.

Looking ahead, the Riksbank expects to finalize its securities portfolio adjustments by the end of 2025, transitioning from sales to active trading within the SEK 18–22 billion range. The central bank’s updated framework, including repurchase agreements (repos and reverse repos), aims to enhance market efficiency and liquidity.

This issuance reinforces Sweden’s role as a key player in European government bond markets, balancing fiscal policy needs with central bank liquidity management. Investors will closely monitor future auctions and Riksbank interventions for signals on monetary policy normalization and market stability.

(http://www.riksgalden.se/en/press-and-publications/press-releases-and-news/press-releases/): Cbonds data on Sweden’s bond issuance and outstanding amounts.
(https://www.riksbank.se/en-gb/press-and-published/notices-and-press-releases/press-releases/2025/decision-on-the-riksbanks-long-term-holdings-of-swedish-government-bonds/): Riksbank’s 2024 decision on securities portfolio management.
(https://cbonds.com/bonds/1866013/): Trading Economics historical yield data for Sweden’s 10-year bonds.