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EU's €11 Billion Bond Auction Boosts Ukraine, NextGenerationEU Support

The EU's latest bond auction raised €11 billion, showing investors' trust in its funding efforts. The money will support Ukraine and NextGenerationEU initiatives.

The image is of a notice board. There are few notes on the board.
The image is of a notice board. There are few notes on the board.

EU's €11 Billion Bond Auction Boosts Ukraine, NextGenerationEU Support

The European Commission has announced its next transaction in the EU's indicative issuance calendar. An EU-Bill auction is set for 17 September 2025, with proceeds financing EU policy programmes, notably NextGenerationEU and support to Ukraine.

The transaction involved two new bonds: a €5 billion 5-year bond maturing in 2030 and a €6 billion 30-year bond maturing in 2055. The 5-year bond was priced at 99.903% with a re-offer yield of 2.520%, while the 30-year bond was priced at 98.538% with a re-offer yield of 4.085%. The auction saw overwhelming demand, with bids exceeding €92 billion for the 5-year bond and €107 billion for the 30-year bond, resulting in oversubscription rates of approximately 18.4-times and 18-times, respectively.

The EU has now disbursed over €367.83 billion to Ukraine and Member States under the Ukraine Facility and NextGenerationEU Recovery and Resilience Facility. The Commission has issued €30.04 billion towards its €70 billion funding target for the second half of 2025, with the 8th syndicated transaction raising €11 billion. The EU's outstanding EU-Bonds under the unified funding approach now total €528.23 billion.

The EU's latest bond auction demonstrates strong investor confidence in EU policy programmes. The raised funds will support Ukraine and NextGenerationEU initiatives, with the EU's funding efforts on track to meet its 2025 targets.

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