Guidelines for central government debt management 2026

The starting point for the Swedish Government’s guidelines decision is the objective of central government debt policy adopted by the Riksdag (Swedish Parliament). The objective is that central government debt shall be managed so as to minimise the long-term cost of the debt while taking the risk associated with its management into account, and that its management shall be conducted within the framework of the requirements of monetary policy.

Central government debt increased as a share of GDP (gross domestic product) in 2024 and is expected to continue to grow as a share of GDP in the forecast period 2025–2028. Even in absolute terms, central government debt is expected to increase.

The Government’s guidelines for the management of central government debt for 2026 do not entail any changes in the steering regarding the central government debt’s composition and term to maturity. On the other hand, the guidelines decision for 2026 means the following changes and clarifications to the steering of debt management compared with the preceding year:

• The Swedish National Debt Office is to take account of refinancing risks in the management of the central government debt, including by issuing instruments with at least ten years to maturity, instead of as previously with more than twelve years to maturity.
• It is specified that in principle the evaluation of central government debt management shall include quantitative measures rather than, as previously, only include such where possible.
• What the basis for the evaluation shall be, and in part what should be included, is clarified. In addition, the choice of analytical methods is to consider continuity over time.
• What the Government’s guideline decisions and the National Debt Office’s decisions in operational management shall be evaluated in relation to, is clarified.

The composition of the central government debt is to be steered towards:

• Foreign currency debt (i.e. foreign currency exposure) is to continue to be gradually phased out and attain the target value of zero as of 1 January 2027.
• Inflation-linked krona debt is to be gradually reduced, amounting to a target level of approximately SEK 80 billion by the end of 2029.
• Nominal krona debt is to continue to make up the remaining share of the central government debt after inflation-linked krona debt and foreign currency debt.
• The term to maturity (in terms of average time to refixing) of the central government debt shall continue to be steered towards 3.5–6 years.

The Swedish National Debt Office’s proposed guidelines among other factors formed the basis for this guidelines decision.

In connection with the preparation of the Government’s guidelines decision, the Riksbank has been afforded the opportunity to provide its opinion on the Debt Office’s proposed guidelines. The Riksbank has raised no objections.

The Government’s guidelines decision for 2026 largely accords with the Debt Office’s proposed guidelines.