Central government financing requirement for 2022


The Economic Survey, May 2022, will be published on May 12.

The estimates of the central government net financing and financing require-ment for 2022 can be found in table 1 below. The financing requirement for 2022 has been revised to DKK 148 bn., which is an increase of approximately DKK 2 bn. compared to the estimate in The Economic Survey, December 2021.

The expected financing requirement for 2022 reflects various opposing changes in the government budget and payment flows. On one hand, tax revenues have increased. This include the tax on yields from certain pension scheme assets for the fiscal year 2021, which are paid in and received in 2022. On the other hand, the expected liquidity drain from the central government account has increased due to an earlier reduction of the maximum amount companies are allowed to deposit on their tax account.

The financing requirement is met by debt issuance or by drawing on the central governments account at Danmarks Nationalbank.

The financing strategy is published by Danmarks Nationalbank on the website of the government debt management office


Table 1. Net financing requirement and central-government financing requirement 
  December 2021
May 2022
DKK bn 1) 2022 2022
Net financing requirement -47
Repayment of long term debt 2) 99 112
Repayment of short term debt 3) 70 64
Net purchase of state owned funds 0 0
Net purchase of social mortgage bonds 24 24
Financing requirement 146 148

1) Rounding may cause component sums to deviate from totals.

2) Incl. payments from the central government in cross-currency swaps and buybacks of long term debt with maturity date beyond 2022.

3) Repayment of short-term debt corresponds to the outstanding amount of Treasury bills and commercial paper in the beginning of the year.

Source: The Economic Survey, May 2022.