Report highlights include:
- EU Member States and the UK issued EUR 1,149 bn in bonds and bills throughout 1Q26, which represents an increase of 31.1% (QoQ) compared to 4Q25, and an increase of 4.8% (YoY) compared to 1Q25.
- Highest average trading volumes on record in European (EU+UK) government bonds during Q1 2026, according to MarketAxess TraX, with trading increasing 8% (YoY) and increasing 23% (QoQ).
- Outstanding amount of European ESG government bonds reached EUR 622.1 bn during 1Q26. Volumes were driven by new green references issued by the UK (EUR 7.1bn), Germany (EUR 4.0bn), Hungary (EUR 3.0bn), Austria (EUR 2.6bn) and Poland (EUR 0.3bn). Green volumes were further supported by tap issuance by Italy (EUR 5.0bn), the Netherlands (EUR 2.2bn) and the European Commission (EUR 1.9bn).
- During 1Q26 there were 3 long-term credit rating upgrades for European countries and no downgrades. This was followed by 1 further upgrade and 2 downgrades in 2Q26, bringing the 2026 year-to-date total to 4 upgrades and 2 downgrades.
- There were 2 entries and no exits in European primary dealerships from January 2026 to March 2026 with a net change of +2. Changes in primary dealership affected sovereign debt markets in Slovakia and Latvia.
- The average bid-cover ratio (demand/amount allocated) was 2.45 in 1Q26, an increase of 8.4% (QoQ) from 4Q25 and a decrease of 3.9% from 1Q25 (YoY).