Funding plan 2020

As a result of the corona crisis the funding need has increased rapidly. At the end of June, the expected funding need for 2020 was €138.8 billion. compared to €42.7 billion at the beginning of the year.

The funding need consists of capital market redemptions, the expected outstanding volume of the money market at the end of 2019, changes in cash collateral and the expected cash balance for 2020. In case buy-backs are done of DSLs maturing in later years this will influence the funding need as well.

Estimated funding need 2020

€ bn

Capital market redemptions 2020

29.9

Money market ultimo 2019 (excl. cash collateral)

14.3

Increase in cash collateral (until end of May)

-0.4

Cash deficit 2020

95.1

Buy-backs DSLs (until end of May)

-

Total

138.8

Call on capital and money market

Fluctuations in the funding need will for a large part be absorbed by changing the call on the money market (treasury bills and other short-term debt securities). Regarding the call on the capital market, the DSTA has decided to revise the minimum committed amount upwards to € 40 bn, from the previous figure of € 35 bn announced in April.

At the beginning of the year, the DSTA estimated € 21-26 billion capital market issuances. This turned out to be unrealistic due to the corona crisis and therefore the amount has been revised upwards.

Issuance calendars

The DSTA remains committed to issue at least all DSLs as announced in the Outlook 2020. This concerns a 10-year DSL, a 30-year DSL, reopenings of the 20-year Green DSL and reopenings of existing DSLs. In addition, the DSTA has been increasing issuance volumes and can also add new DSLs. For example, a new 7-year DSL was issued this year that was not foreseen at the beginning of the year. Specific issuance calendars for Dutch State Loans (DSLs) and Dutch Treasury Certificates (DTCs) are published every quarter. Further information on funding developments as well as the public budget and economy can be found in the quarterly outlooks.