Spanish Treasury Issues €15 Billion 10-Year Bond Amid Record €145 Billion Demand
The Spanish Treasury’s €15 billion 10-year bond issuance attracted an historic €145 billion in demand, reflecting strong investor confidence and leading to favorable yield levels.
- • Spanish Treasury issued €15 billion in a new 10-year bond maturing in April 2036.
- • Demand reached a record €145 billion, nearly ten times the amount issued.
- • Non-resident investors comprised 90% of subscriptions, led by the UK, Ireland, France, Italy, Germany, Austria, and Switzerland.
- • Bond coupon set at 3.30% with a yield of 3.323%, reflecting low risk premiums post credit upgrades.
- • Central banks and official institutions accounted for 26.5%, fund managers for 25.1% of the issuance.
Key details
The Spanish Treasury completed a landmark issuance of a new 10-year bond maturing in April 2036, raising €15 billion on January 20, 2026. This issuance set a historic record with investor demand reaching an unprecedented €145 billion, nearly ten times the amount issued. This overwhelming response underscores strong investor confidence in Spain’s public debt and economic outlook.
Demand was notably broad-based, with 441 investor accounts participating and non-residents accounting for 90% of subscriptions. Significant interest came from the United Kingdom and Ireland (22.5%), France and Italy (14.2%), and Germany, Austria, and Switzerland (11.7%). Institutional investors of the highest quality led the operation, with central banks and official institutions buying 26.5% of the issuance, followed by fund managers holding 25.1%.
The bond carries a coupon rate of 3.30% and yielded 3.323%, just 6 basis points above Spain’s current 10-year benchmark bond maturing in October 2035. This issuance reflects a continuing positive trend following credit rating upgrades in 2025, which have compressed Spain's risk premium to levels not seen since before the financial crisis, now under 40 basis points.
Year-to-date, Spain has issued €29.787 billion in medium- and long-term debt, covering 16.8% of its €176.9 billion financing target for 2026. The average maturity of outstanding debt stands at 7.83 years, supporting the Treasury’s strategy for debt sustainability.
Overall, the record-setting demand for this bond issuance signals robust international confidence in Spain’s fiscal health and the attractiveness of its debt in global markets.
This article was translated and synthesized from Spanish sources, providing English-speaking readers with local perspectives.
