Germany to auction 1.5 billion euros in Green Bonds
The German government will increase two Green Federal Securities by a total of 1.5 billion euros through a Multi-ISIN auction on May 5, 2026. This includes 1 billion euros in 2024 (2029) Green Federal Bonds and 0.5 billion euros in 2025 (2035) Green Federal Notes.
The Green Bonds on Offer
The auction on May 5, 2026, will increase two existing Green Federal Securities.
These include the 2.10% Green Federal Bonds of 2024 (2029) with ISIN DE000BU35025, maturing on April 12, 2029, and currently having an issuance volume of 6.5 billion euros.
The second instrument is the 2.50% Green Federal Notes of 2025 (2035), ISIN DE000BU3Z047, due on February 15, 2035, with a current issuance volume of 8 billion euros.
The federal government aims to raise a total of 1.5 billion euros across both securities, including the respective market-making quota.
Specifically, 1 billion euros is intended for the 2.10% Green Federal Bonds and 0.5 billion euros for the 2.50% Green Federal Notes.
The final allocation for each security will be determined during the tender allocation process on May 5, 2026.
Auction Process and Green Framework
Bidding is open to members of the bidder group for federal issues.
Bids must be for a nominal amount of at least 1 million euros or a whole multiple thereof.
Price bids must be in full 0.01 percentage points.
Bids without a specified price are also possible and will be allocated at the weighted average price of accepted price bids.
The bidding period is from 8:00 AM to 11:30 AM Frankfurt time on Tuesday, May 5, 2026.
The securities will be included in exchange trading on the same day, with the value date set for Thursday, May 7, 2026.
The Green Bond Framework of the Federal Republic of Germany, dated January 15, 2026, which describes the use of proceeds, applies to these Green Federal Securities.
Germany's Green Commitment
This auction represents a routine, yet important, operational step in Germany's debt management strategy.
It underscores the federal government's continued commitment to expanding its green bond market and financing environmentally friendly projects.
While not a new policy initiative, it provides crucial liquidity and investment opportunities for sustainable finance participants.