Brussels (Brussels Morning Newspaper) – The European Commission intends to issue €90 billion in EU Bonds in the first months of 2025, supporting economic recovery and sustainability efforts.
The European Commission plans to give up to €90 billion of European Union bonds in the early months of 2025 (H1), from January to June 2025. The EU Commission’s funding program for H1 2025 persists in the 2024 issuance programme, during which the European Union gathered €138 billion in long-term budgets. For 2025 as a whole, the EU Commission expects to issue around €160 billion in EU Bonds, guaranteeing consistent backing for its borrowing-based programmes.
How does the EU bond issuance impact the European Union?
As reported by the EU Commission, funds collected by the European Commission via EU- Bond issuances persist in pushing the EU’s recovery from the coronavirus pandemic, support the strength of its economy, and help the EU’s neighbouring allies, especially Ukraine and the Western Balkans.
The EU Commission says that these wide-ranging borrowing procedures will support the EU Bond market while ensuring continued support to guidelines funded through EU Bond issuances. Except for long-term funding operations, the EU Commission will also persist in issuing short-term EU bills to complete its financial operations.
Moreover, 2024 marked the most elevated annual issuance ratio ever conducted by the European Union, in compliance with the reported planning. Also, in 2024, the European Union became the fifth biggest issuer of green bonds internationally with around €68 billion outstanding in NextGenerationEU (NGEU) Green Bonds and is currently on its way to becoming the biggest global Green Bond issuer.
The recently issued NGEU Green Bond Impact and Allocation report affirms the European Union’s function as a global leader in sustainable finance. As shown in the report, the full undertaking of green investments funded via NGEU Green Bonds could result in a decrease of 55 million tons of greenhouse gas (GHG) emissions in the European Union annually, equal to 1.5% of all GHG emissions.
