Decline in Global US Dollar Debt Issuance by Governments in 2025

Reported 3 days ago

Data shows that global government issuances of US dollar debt have fallen significantly in 2025, driven by Asian and European countries preferring local currency bonds to avoid risks tied to US yield increases and currency fluctuations. The issuance of dollar bonds by non-US sovereigns dropped 19% to $86.2 billion compared to last year, marking a three-year decline. Meanwhile, local currency bond issuances have reached a five-year high of $326 billion, as countries like India and Indonesia cut interest rates, encouraging more domestic debt issuance.

Source: YAHOO

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